Are you unhappy with the rental yield that your investment property is bringing in? Spare a thought for the landlords in these suburbs, where average gross rental yields are as low as a paltry 1.5%.
Your Investment Property has delved into the February data from RP Data to expose the nation’s suburbs with the lowest average gross rental yields, and can reveal that the worst yielding suburb on the list – Portsea houses (Vic) – yields an average of just 1.5%.
Perhaps Portsea’s median house price of almost $1.6m has something to do with its worryingly low gross rental yield figure. In fact, nine of the top 10 worst suburbs for gross rental yields have median prices of over $1m – with second placed Tamarama (NSW) topping the scales at over $4.3m. The only suburb in the top 10 not to top the $1m mark is Quindalup (WA), whose median house price isn’t too far off millionaire’s row at $910,000.
Read on for the 10 worst yielding suburbs in Australia.
|
State |
Suburb |
Type |
Median Price |
Average Annual Growth |
Weekly Median Advertised Rent ($) |
Gross Rental Yield |
|
VIC |
PORTSEA |
H |
$1,674,000 |
17.3% |
490 |
1.5% |
|
NSW |
TAMARAMA |
H |
$4,337,500 |
26.6% |
1295 |
1.6% |
|
VIC |
MONT ALBERT |
H |
$1,255,000 |
10.6% |
430 |
1.8% |
|
NSW |
KIRRIBILLI |
H |
$1,900,000 |
6.3% |
683 |
1.9% |
|
QLD |
SURFERS PARADISE |
H |
$1,320,000 |
11.9% |
500 |
2.0% |
|
WA |
DALKEITH |
H |
$2,325,000 |
12.1% |
900 |
2.0% |
|
WA |
QUINDALUP |
H |
$910,000 |
24.4% |
360 |
2.1% |
|
VIC |
IVANHOE |
H |
$1,120,000 |
10.3% |
450 |
2.1% |
|
NSW |
CONNELLS POINT |
H |
$1,190,000 |
7% |
500 |
2.2% |
|
VIC |
BALWYN |
H |
$1,398,000 |
-6% |
595 |
2.2% |
Source: RP Data, February 2012
Looking at the 10 worst yielding suburbs in each state and territory, it’s evident that some fare far better than others. The Northern Territory, for example, doesn’t have a single suburb with a gross rental yield of less than 4%, according to RP Data figures. The ACT and Tasmania, too, are some of the better performers, with neither state showing a suburb with a gross rental yield of less than 3%.
At the other end of the scale, the worst performing 10 suburbs for gross rental yields in Victoria and NSW barely break the 2% mark, according to RP Data figures.
Read on for the full rundown of the 10 worst performing suburbs for rental yields in each state and territory.
|
State |
Suburb |
Type |
Median Price |
Average Annual Growth |
Weekly Median Advertised Rent ($) |
Gross Rental Yield |
|
ACT |
TURNER |
H |
$945,000 |
7.9% |
550 |
3.0% |
|
ACT |
BRADDON |
H |
$870,000 |
n.a |
550 |
3.3% |
|
ACT |
GRIFFITH |
H |
$1,04,0000 |
8.2% |
675 |
3.4% |
|
ACT |
YARRALUMLA |
H |
$1,000,000 |
8.4% |
695 |
3.6% |
|
ACT |
O'CONNOR |
H |
$750,000 |
10.5% |
540 |
3.7% |
|
ACT |
GARRAN |
H |
$832,500 |
9.1% |
600 |
3.7% |
|
ACT |
ARANDA |
H |
$780,000 |
11.4% |
563 |
3.8% |
|
ACT |
HUGHES |
H |
$750,000 |
9.5% |
545 |
3.8% |
|
ACT |
LYONS |
H |
$645,000 |
11.1% |
470 |
3.8% |
|
ACT |
RED HILL |
H |
$1,135,000 |
9.1% |
850 |
3.9% |
|
NSW |
TAMARAMA |
H |
$4,337,500 |
26.6% |
1295 |
1.6% |
|
NSW |
KIRRIBILLI |
H |
$1,900,000 |
6.3% |
683 |
1.9% |
|
NSW |
CONNELLS POINT |
H |
$1,190,000 |
6.9% |
500 |
2.2% |
|
NSW |
POINT FREDERICK |
H |
$917,500 |
10.9% |
393 |
2.2% |
|
NSW |
STRATHFIELD |
H |
$1,380,000 |
7.5% |
595 |
2.2% |
|
NSW |
DOUBLE BAY |
H |
$2,920,000 |
9.2% |
1300 |
2.3% |
|
NSW |
BURWOOD |
H |
$1,234,750 |
7.6% |
550 |
2.3% |
|
NSW |
BELLEVUE HILL |
H |
$3,300,000 |
7.1% |
1475 |
2.3% |
|
NSW |
KILLCARE |
H |
$775,000 |
n.a |
350 |
2.3% |
|
NSW |
PALM BEACH |
H |
$1,837,500 |
8.1% |
855 |
2.4% |
|
NT |
PARAP |
H |
$840,000 |
23.2% |
690 |
4.3% |
|
NT |
NIGHTCLIFF |
H |
$690,000 |
10.6% |
600 |
4.5% |
|
NT |
STUART PARK |
H |
$670,000 |
10.5% |
600 |
4.7% |
|
NT |
FANNIE BAY |
U |
$495,000 |
12.4% |
450 |
4.7% |
|
NT |
RAPID CREEK |
H |
$615,000 |
12.2% |
560 |
4.7% |
|
NT |
PARAP |
U |
$490,000 |
15.3% |
450 |
4.8% |
|
NT |
MILLNER |
H |
$520,000 |
13.7% |
488 |
4.9% |
|
NT |
HOWARD SPRINGS |
H |
$605,500 |
15.2% |
570 |
4.9% |
|
NT |
MALAK |
H |
$500,000 |
10.9% |
475 |
4.9% |
|
NT |
MOIL |
H |
$530,000 |
11.6% |
505 |
5.0% |
|
QLD |
SURFERS PARADISE |
H |
$1,320,000 |
11.9% |
500 |
2.0% |
|
QLD |
MERMAID BEACH |
H |
$950,000 |
7.5% |
440 |
2.4% |
|
QLD |
NEW FARM |
H |
$1,200,000 |
13.9% |
575 |
2.5% |
|
QLD |
PARADISE POINT |
H |
$1,000,000 |
12.6% |
500 |
2.6% |
|
QLD |
SUNSHINE BEACH |
H |
$994,000 |
11.2% |
500 |
2.6% |
|
QLD |
SHELLY BEACH |
H |
$707,500 |
16.4% |
365 |
2.7% |
|
QLD |
CLAYFIELD |
H |
$890,500 |
10.0% |
465 |
2.7% |
|
QLD |
SHORNCLIFFE |
H |
$685,000 |
9.9% |
380 |
2.9% |
|
QLD |
HIGHGATE HILL |
H |
$865,000 |
10.4% |
483 |
2.9% |
|
QLD |
MONTVILLE |
H |
$670,000 |
18% |
380 |
2.9% |
|
SA |
ROSE PARK |
H |
$1,220,000 |
10.7% |
560 |
2.4% |
|
SA |
NORTH ADELAIDE |
H |
$1,021,000 |
12.7% |
488 |
2.5% |
|
SA |
KENSINGTON PARK |
H |
$830,000 |
11.6% |
418 |
2.6% |
|
SA |
HENLEY BEACH |
U |
$555,000 |
16.7% |
283 |
2.6% |
|
SA |
SAINT PETERS |
H |
$881,250 |
11.4% |
450 |
2.7% |
|
SA |
BRIGHTON |
H |
$741,500 |
11.3% |
385 |
2.7% |
|
SA |
MITCHAM |
H |
$780,000 |
12.0% |
405 |
2.7% |
|
SA |
FLINDERS PARK |
U |
$542,500 |
24.8% |
290 |
2.8% |
|
SA |
HAWTHORN |
H |
$741,000 |
7.7% |
400 |
2.8% |
|
SA |
MYRTLE BANK |
H |
$735,000 |
-4% |
400 |
2.8% |
|
TAS |
EAST LAUNCESTON |
H |
$506,000 |
15.8% |
330 |
3.4% |
|
TAS |
ORFORD |
H |
$320,500 |
15.0% |
225 |
3.7% |
|
TAS |
SANDY BAY |
H |
$637,500 |
10.5% |
460 |
3.8% |
|
TAS |
TREVALLYN |
U |
$290,000 |
8.6% |
210 |
3.8% |
|
TAS |
SNUG |
H |
$395,000 |
14.6% |
288 |
3.8% |
|
TAS |
BATTERY POINT |
H |
$685,000 |
13.9% |
500 |
3.8% |
|
TAS |
BURNIE |
U |
$220,000 |
n.a |
163 |
3.8% |
|
TAS |
KETTERING |
H |
$469,500 |
16.1% |
350 |
3.9% |
|
TAS |
TRANMERE |
H |
$542,000 |
12.4% |
420 |
4.0% |
|
TAS |
MOUNT NELSON |
H |
$502,250 |
12.5% |
390 |
4.0% |
|
VIC |
PORTSEA |
H |
$1,674,000 |
17.3% |
490 |
1.5% |
|
VIC |
MONT ALBERT |
H |
$1,255,000 |
10.6% |
430 |
1.8% |
|
VIC |
IVANHOE |
H |
$1,120,000 |
10.3% |
450 |
2.1% |
|
VIC |
IVANHOE EAST |
H |
$1,310,000 |
10.4% |
550 |
2.2% |
|
VIC |
BALWYN |
H |
$1,398,000 |
11.1% |
595 |
2.2% |
|
VIC |
ARMADALE |
H |
$1,505,500 |
10.1% |
650 |
2.2% |
|
VIC |
KEW EAST |
H |
$1,190,000 |
10.5% |
518 |
2.3% |
|
VIC |
QUEENSCLIFF |
H |
$722,500 |
10.3% |
315 |
2.3% |
|
VIC |
TOORAK |
H |
$2,400,000 |
7.4% |
1050 |
2.3% |
|
VIC |
ABERFELDIE |
H |
$960,000 |
11.5% |
425 |
2.3% |
|
WA |
DALKEITH |
H |
$2,325,000 |
12.1% |
900 |
2.0% |
|
WA |
QUINDALUP |
H |
$910,000 |
24.4% |
360 |
2.1% |
|
WA |
NEDLANDS |
H |
$1,550,000 |
12.3% |
700 |
2.3% |
|
WA |
AUGUSTA |
H |
$485,000 |
12.5% |
230 |
2.5% |
|
WA |
MIDDLETON BEACH |
H |
$615,000 |
n.a |
300 |
2.5% |
|
WA |
WATERMANS BAY |
H |
$1,225,000 |
n.a |
615 |
2.6% |
|
WA |
SOUTH PERTH |
H |
$1,150,000 |
12.3% |
580 |
2.6% |
|
WA |
SWANBOURNE |
H |
$1,375,000 |
11.8% |
700 |
2.6% |
|
WA |
NORTH BEACH |
H |
$1,055,000 |
14.5% |
550 |
2.7% |
|
WA |
BICTON |
H |
$900,000 |
12.1% |
480 |
2.8% |
Source: RP Data, February 2012
How do you think the rental market is performing? Have your say on our property investment forum.
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