Your very own home to buy for less than $200,000, a short drive from Sydney's CBD - no, this is not a real estate fairytale. SQM Research guru Louis Christopher has poured over the current listings and singled out his top 10 in Sydney and Paul Bird from the Real Estate Institute of Victoria, has done the same for Melbourne buyers. If you think you've been priced out of the Sydney or Melbourne property markets, you're wrong, according to these real estate experts, who have found hidden gems among the over-inflated prices. 'The Sydney market is now 25 per cent above fair valuation but there is bargain buying,' Mr Christopher admitted. One of his top picks came in under $200,000 and where he found the others will surprise. Less than $200,000. The cheapest on the market and top pick, just 45 kilometres west of the CBD, a one-bed, one bathroom unit in St Marys is listed at $199,950 in the over-inflated Sydney property market . St Marys unit described as 'a low buy in price, all studios have been renovated to a high standard, close to train station and shopping centre with excellent growth prospects for the area' This St Marys apartment is going for less than half the median price for units in the western suburb of Sydney . There are listings in the eastern suburbs and inner west which make his top ten. And while there is no Toorak or Malvern in the Melbourne cheapies, they are still close to the Victorian capital and won't stretch the budget much beyond $300,000. Globally, Sydney is considered the third most expensive property market behind only Hong Kong and Vancouver, when it comes to housing versus household income - and Melbourne fares little better, ranking sixth. But there are ways around the rankings. 1 Werribee $240,000 . 2. Hoppers Crossing $299,999 . 3. Carrum Downs $329,000 . 4. Wyndham Vale $352,500 . 5. Hampton Park $360,000 . 6. Deer Park $363,500 . 7. Truganina $370,000 . 8. Pakenham $375,000 . 9. Frankston $375,000 . 10. Craigieburn $378,500 . 1. St Marys  $199,950 . 2. Waterloo $380,000 . 3. Cronulla $400,000 . 4. Wiley Park $419,000 . 5. Potts Point $429,000 . 6. Kingswood $440,000 . 7. Casula $470,000 . 8. Gladesville $485,000 . 9. Dharruk $490,000 . 10. Ingleburn $490,000 . The Potter Street apartment enjoys open plan kitchen equipped with premium appliances, flowing to private garden side balcony, a built-in robe and ducted air conditioning and access to a swimming pool, spa, sauna and gym . Room with a view in Waterloo. Just four kilometres south of the CBD, this studio apartment is considered a perfect entry point for the first home buyer and the astute investor - just $380,000 . 'Suburbs just like St Marys are increasingly in demand because of their affordability, the importance of the future second airport and infrastructure plans,' Louis Christopher said. The property on the Great Western Highway is going for just $199,950. 'Now this is a basic entry level but you must remember that St Marys has, on our numbers, risen 41 per cent in the past 3 years for units,' he added. 'And the median for units there is $391,000 - this is almost half that.' Werribee home for just $240,000, south-west of Melbourne. Comes in well below the median price for the area and is among the top pick for bargain buys in Victoria according to real estate experts . For your $240,000 you'll get a 'freshly painted home boasting three spacious bedrooms with large built in robes and main bathroom with separate shower and bath' Like St Marys, top of the Melbourne list is found a similar distance from the CBD, at Werribee south-west of the capital. For about $240,000, a 3 bedroom brick home can be all yours. 'Werribee, Hoppers Crossing and Carrum Downs are Melbourne’s most affordable suburbs,' said Paul Bird from the Real Estate Institute of Victoria. Also under the $300,000 mark is the three-bedder at Hoppers Crossing, also south-west of the city. The 46 Hampstead Drive home is on a 580 square metre property and boasts two bathrooms, split system reverse cycle unit and ceiling fans throughout, as well as floating flooring and a new pergola. 'Capital growth will still be at the top end of our forecast this year of between 8 to 12 per cent for Sydney,' Mr Christopher said. 'Right now no triggers are there on the horizon to stop it.' 'The Waterloo property is an interesting one. 'That's a unit in an area where the median is at $736,000, so to get it for $380,000 is an eye-opener. Potts Point apartment going for $429,000. Agents say it is 'reminiscent of a chic Parisian studio, the 33msq apartment is tucked away in a leafy cul-de-sac enclave in Potts Point’s fashionable Macleay Street quarter' It has black Japan floors, chandeliers• and is less than 2 kilometres to the CBD and offered for sale furnished . The one-bedder also comes with a 'common roof-top with harbour views' 'Potts Point has a median of $582,000 and is full of 1 bedders and studios and then you go to $1.17 million for two bedroom apartments.' He has found a small apartment on Crick Avenue for $429,000 and a property at Cronulla, not far from southern beaches for just $400,000. 'Buyers have to make sure, that even with these bargains, they need to do the work, inspections are recommended, you must check the quality always, yes it could be cheap but you need to know what you are getting for your money.' But he left, perhaps his best, for last. 'I like the one in Dharruk, a standard house, under $500,000 for what is basically 3 bedder on 600 square metres,' he said. 'It's not a mansion but look that's really affordable real estate, that means for your first home buyer they are keeping their mortgage low . 'Basically with a 10 per cent deposit, you're keeping your mortgage under 450-thousand. 'You are getting house and land which you can build up. 'Some people may turn their noses up now but in time that will change, especially with the plans for the second Sydney Airport.' Not to be outdone, Victorian suburbs are still providing value in the over-inflated market. 'They (Werribee and Hoppers Crossing) have median house prices below $350,000, while Wyndham Vale, Hampton Park and Deer Park are close behind.' $299,000 at Hoppers Crossing for three bedrooms, double garage at rear, split system reverse cycle unit and ceiling fans throughout plus solar panels, new pergola and timber decking . The Hoppers Crossing buy boasts a 'good sized living area' on a block of about 580msq . He singled out them out for areas with median house prices below $365,000, while Truganina, Pakenham, Frankston and Craigieburn round out Melbourne’s list of most affordable suburbs with average house prices below $380,000. The number of Australian residential property listings was steady in the past month, Sydney reporting a jump in listings as more vendors placed their houses on the market, looking to make a sale after the summer beak, while some buyers backed away due to the high prices. 'The key point that Sydney right now is that it has less listings on the market than Perth does, it's crazy considering the population base of both. 'Stock is getting absorbed very quickly, it's such a bull market, and property is taken out real quick.' A two-bedroom apartment in the inner western suburb of Sydney, Gladesville, under $500,000 . They call the Gladesville apartment, which is among Louis Cristopher's Top 10 bargain buys in Sydney as a 'well presented two bedroom unit with a sunny north-east aspect, featuring a modern kitchen with stainless steel appliances and a breakfast bar' He said from his company's viewpoint, listings were 'at a record low point for past 10 years'. 'Over in Perth they cannot sell a thing, the market is falling away badly, the fly-in fly-out market is gone and that is causing a big rise in rental supply. 'I's different on the retail front because of the mining boom, retail rents went through the roof, they locked themselves in for five year leases and can't get it down, so prices stay high.' Nationally, the number of unsold properties reached 351,843 last month, a modest rise and 1.6 per cent up from a year earlier. 283 Ballarto Road at Carrum Downs, negotiations welcome at $329,000 for the 3-bedder . 'Werribee, Hoppers Crossing and Carrum Downs are Melbourne’s most affordable suburbs,' said Paul Bird from the Real Estate Institute of Victoria . 'Overall there is no national housing bubble forming, except for Sydney and parts of Melbourne,' warned Louis Cristopher from SQM Research . Managing Director of SQM Research, Louis Christopher, said lower interest rates should continue to drive the Sydney market and lift buyer demand elsewhere . Low interest rates will help to underpin investor demand for property, helping vendors to sell their properties, which will keep a lid on listings in those cities, Mr Christopher said. SQM Research is an independent property research house which specialises in providing accurate property related research and data to financial institutions, property professional, real estate investors and the media. 'We are seeing a very different picture in Darwin and Perth. The softness in those markets is expected to be ongoing given that the commodity downturn is depressing economic activity in Western Australia and the Northern Territory. 'Stock levels have jumped from a year earlier as vendors struggle to sell their properties for the prices they want in these cities. 'Overall it goes to show there is no national housing bubble forming. Except for Sydney and parts of Melbourne.'
Bargains still to be found in over-inflated Australian property market within touching distance of capital cities . Homes for under $200,000 less than 40 minutes from the CBD . Top 10 bargain buys as picked by real estate gurus . Among them a property walking distance from the beach for just $400,000 . Globally both Sydney and Melbourne are considered among the most expensive capital cities for property .