Southern Highlands
Statistical Area - sa2

Southern Highlands lies within the top quartile of areas nationally for population growth performance according to AreaSearch analysis of recent, and medium to long-term trends

Southern Highlands' population is approximately 7,408 as of August 2025. This figure represents an increase of 158 people, a growth rate of 2.2% since the 2021 Census which reported a population of 7,250. The change is inferred from ABS estimated resident population data of 7,358 in June 2024 and an additional 104 validated new addresses since the Census date. This results in a population density ratio of 5.3 persons per square kilometer. Over the past decade, Southern Highlands has shown resilient growth patterns with a compound annual growth rate of 1.2%, outperforming its SA4 region. Overseas migration contributed approximately 62.4% of overall population gains during recent periods.

AreaSearch uses ABS/Geoscience Australia projections for each SA2 area released in 2024 with 2022 as the base year, and NSW State Government's SA2 level projections where data is unavailable, released in 2022 with 2021 as the base year. Growth rates by age group are applied to all areas for years 2032 to 2041. Future population trends project an above median growth of national regional areas, with Southern Highlands expected to grow by 1,298 persons to 2041 based on latest numbers, reflecting a total increase of 16.9% over the 17 years.

Recent residential development output has been above average within Southern Highlands when compared nationally

Southern Highlands recorded approximately 59 residential properties granted approval annually. Over the past five financial years, from FY21 to FY25, around 295 homes were approved, with an additional 17 approved so far in FY26. On average, one new resident arrived per new home each year over these five years, indicating balanced supply and demand, which has maintained stable market conditions.

The average construction cost value of new homes was $929,000, suggesting developers targeted the premium market segment with higher-end properties. This financial year saw $1.8 million in commercial approvals registered, reflecting a predominantly residential focus. Compared to the rest of NSW, Southern Highlands exhibited moderately higher development activity, 26.0% above the regional average per person over the five-year period, which has maintained good buyer choice and supported existing property values.

However, development activity has moderated in recent periods. New development comprised approximately 88.0% standalone homes and 12.0% attached dwellings, preserving the area's traditional low density character with a focus on family homes appealing to those seeking space. The location had around 196 people per dwelling approval, indicating a low density market. Population forecasts suggest Southern Highlands will gain approximately 1,248 residents by 2041. At current development rates, new housing supply should comfortably meet demand, providing good conditions for buyers and potentially supporting growth beyond current population projections.

Southern Highlands has emerging levels of nearby infrastructure activity, ranking in the 30thth percentile nationally

Changes to local infrastructure significantly impact an area's performance. AreaSearch identified 24 projects likely affecting the region. Notable initiatives include Bundanoon Village Place Plan, Southern Highlands Innovation Park, Moss Vale Station and Stabling Yard Upgrade, and Moss Vale Bypass. The following list details projects most relevant to the area.

Professional plan users can use the search below to filter and access additional projects.

Denotes AI-based impression for illustrative purposes only, not to be taken as definitive under any circumstances. Please follow links and conduct other investigations from the project's source for actual imagery. Developers and project owners wishing us to use original imagery please Contact Us and we will do so.

AreaSearch analysis of employment trends sees Southern Highlands performing better than 90% of local markets assessed across Australia

Southern Highlands has a highly educated workforce. Its construction sector is particularly prominent, with an unemployment rate of just 0.5% as of June 2025.

Over the past year, employment growth was estimated at 2.9%. As of this date, 3,453 residents are employed, with an unemployment rate of 3.2%, lower than Rest of NSW's rate of 3.7%. Workforce participation is similar to Rest of NSW's figure of 56.4%. Key industries for employment among residents include construction, health care & social assistance, and professional & technical services.

The area has a notable specialisation in professional & technical services, with an employment share 1.8 times the regional level. Conversely, health care & social assistance employs only 12.3% of local workers, below Rest of NSW's figure of 16.9%. Employment opportunities locally may be limited, as indicated by Census data comparing working population to resident population. Between June 2024 and June 2025, employment increased by 2.9%, while labour force grew by 2.6%, leading to a fall in unemployment rate of 0.3 percentage points. In contrast, Rest of NSW saw employment contraction of 0.1%, labour force growth of 0.3%, and an increase in unemployment rate of 0.4 percentage points. Jobs and Skills Australia's national employment forecasts from May 2025 suggest potential future demand within Southern Highlands. These projections estimate national employment expansion by 6.6% over five years and 13.7% over ten years, with varying growth rates across industry sectors. Applying these projections to Southern Highlands' employment mix suggests local growth of approximately 6.3% over five years and 13.1% over ten years.

Income levels sit below national averages according to AreaSearch assessment

Southern Highlands' income level is very high nationally according to the latest ATO data aggregated by AreaSearch for financial year 2022. Its median income among taxpayers is $46,055 and average income stands at $73,053. These figures compare to Rest of NSW's median income of $49,459 and average income of $62,998 respectively. Based on Wage Price Index growth of 12.61% since financial year 2022, current estimates for Southern Highlands would be approximately $51,863 (median) and $82,265 (average) as of September 2025. According to the 2021 Census, household incomes rank at the 40th percentile in Southern Highlands. Family incomes also rank at the 40th percentile, while personal incomes rank at the 39th percentile. Income analysis reveals that the $1,500 - 2,999 income bracket dominates with 27.8% of residents (2,059 people). Housing costs are manageable with 86.7% retained by residents. However, disposable income ranks below average at the 44th percentile and the area's SEIFA income ranking places it in the 7th decile.

Southern Highlands is characterized by a predominantly suburban housing profile, with above-average rates of outright home ownership

The latest Census evaluation found that 98.0% of dwellings in Southern Highlands were houses, with the remaining 2.0% consisting of semi-detached properties, apartments, and other types. In contrast, Non-Metro NSW had 90.6% houses and 9.4% other dwellings. Home ownership in Southern Highlands stood at 54.6%, with mortgaged dwellings accounting for 32.6% and rented dwellings making up 12.8%. The median monthly mortgage repayment was $2,108, lower than the Non-Metro NSW average of $2,167. The median weekly rent in Southern Highlands was $400, compared to $430 in Non-Metro NSW. Nationally, Southern Highlands' mortgage repayments were higher at $2,108 versus the Australian average of $1,863, and rents were also higher at $400 compared to the national figure of $375.

Southern Highlands has a typical household mix, with a fairly typical median household size

Family households account for 72.9% of all households, including 25.3% that are couples with children, 39.4% that are couples without children, and 7.9% that are single parent families. Non-family households make up the remaining 27.1%, with lone person households at 25.0% and group households comprising 1.9% of the total. The median household size is 2.4 people, which matches the average for the Rest of NSW.

The educational profile of Southern Highlands exceeds national averages, with above-average qualification levels and academic performance metrics

Southern Highlands has a notably high educational attainment level among its residents aged 15 and above, with 32.4% holding university qualifications compared to 21.3% in the rest of NSW and 22.4% in the SA4 region. Bachelor degrees are most common at 21.1%, followed by postgraduate qualifications (7.9%) and graduate diplomas (3.4%). Vocational credentials are also prevalent, with 38.5% of residents holding them - advanced diplomas account for 12.5% and certificates for 26.0%. Educational participation is high, with 26.0% of residents currently enrolled in formal education.

This includes 9.2% in primary education, 7.5% in secondary education, and 3.4% pursuing tertiary education. Southern Highlands has four schools with a combined enrollment of 287 students, operating under typical Australian school conditions (ICSEA: 1032) and offering balanced educational opportunities. All four schools focus exclusively on primary education, with secondary options available in surrounding areas. School capacity is limited locally (3.9 places per 100 residents compared to the regional average of 13.3), leading many families to travel for schooling.

Transport servicing is moderate compared to other areas nationally based on assessment of service frequency, route connectivity and accessibility

Southern Highlands has 181 active public transport stops offering a mix of train and bus services. These stops are served by 36 individual routes that collectively facilitate 906 weekly passenger trips. Transport accessibility is rated as good with residents typically located 269 meters from the nearest stop.

Service frequency averages 129 trips per day across all routes, equating to approximately 5 weekly trips per stop.

Health performance in Southern Highlands is lower than average with common health conditions somewhat prevalent across both younger and older age cohorts

Southern Highlands faces significant health challenges with common health conditions prevalent across both younger and older age cohorts. The rate of private health cover is very high at approximately 56% of the total population (~4148 people), compared to 66.3% across Rest of NSW.

The most common medical conditions are arthritis, impacting 11.0% of residents, and asthma, impacting 7.2%. A total of 64.7% of residents declare themselves completely clear of medical ailments, compared to 64.8% across Rest of NSW. The area has 31.5% of residents aged 65 and over (2334 people), which is higher than the 27.7% in Rest of NSW. Health outcomes among seniors are particularly strong, performing even better than the general population in health metrics.

Southern Highlands ranks below the Australian average when compared to other local markets across a number of language and cultural background related metrics

Southern Highlands had a cultural diversity below average, with 81.1% born in Australia, 89.8% being citizens, and 94.8% speaking English only at home. Christianity was the main religion, comprising 56.8%, compared to 57.0% across Rest of NSW. The top three ancestry groups were English (31.7%), Australian (27.7%), and Scottish (10.7%).

Hungarian representation was notably higher at 0.4% versus 0.3% regionally, Irish at 10.3% versus 9.9%, and Welsh remained similar at 0.6%.

Southern Highlands ranks among the oldest 10% of areas nationwide

Southern Highlands has a median age of 53, which is considerably higher than the Rest of NSW figure of 43 and substantially exceeds the national norm of 38. Relative to Rest of NSW, Southern Highlands has a higher concentration of residents aged 65-74, at 17.0%, but fewer residents aged 25-34, at 6.5%. This concentration of 65-74 year-olds is well above the national figure of 9.4%. Between the 2021 Census and now, the population aged 75 to 84 has grown from 9.7% to 11.7%, while the 35 to 44 age group increased from 8.9% to 10.0%. Conversely, the 65 to 74 age group has declined from 18.5% to 17.0%. Looking ahead to 2041, demographic projections reveal significant shifts in Southern Highlands' age structure. The 45 to 54 age group is projected to grow by 30%, adding 267 people and reaching a total of 1,151 from the current figure of 883. Meanwhile, the 55 to 64 cohort is expected to grow by a modest 1%, adding 8 people.