Another great article was published yesterday by Elizabeth Tilley on RealEstate identified 10 Australian suburbs where investors can purchase real estate for under $500k providing great rental returns and good capital growth potential - https://www.realestate.com.au/news/top-10-where-you-can-invest-for-under-500k/.
Lets run the capital growth report and rental yields report for 6 of these 10 suburbs to see how they stack up. We have picked 3 suburbs for best house potential, and 3 suburbs for best unit potential. QLD and WA appear to dominate the list.
HOUSES
Blacks Beach, QLD, 4740 - median house price $495,000, rental yield 5.32%
Calliope, QLD, 4680 - median house price $449,000, rental yield 5.06%
Wonthella, WA 6530 - median house price $361,000, rental yield 4.44%
UNITS
Bowen Hills, QLD, 4006 - median unit price $515,500, rental yield 5.74%
Glendalough, WA, 6016 - median unit price $360,000, rental yield 8.04%
Harris Park, NSW, 2150 - median unit price $522,500, rental yield 5.83%
Interestingly, most of these suburbs have hardly grown in the last 10 years, with some even diminishing in capital growth (e.g. Harris Park, where unit prices reduced in value over a decade).
The rental yield for units in Glendalough WA is exceptional - 8.04%.
