A high yielding rental property is an ideal investment. Aside from acting as a tax-free income stream for investors, rental properties usually pay for any maintenance costs associated with their upkeep as well as generating extra cash to play with. In today’s market, finding a positively-geared cash flow property that offers these benefits means focusing your search on the suburbs with the highest rental yield and fastest rental growth. We’ve prepared this list to help you do exactly that.
The rental performance results are in: here are the fastest rental growth suburbs in Australia.
About the fastest rental growth suburbs report
Earlier this month, leading real estate investment advisory, The Real Estate Investar, gathered rental listing data from the last two years to compare 2020 and 2021 median rent figures. The data is arranged by property type – no. of bedrooms – and suburb or postcode.
We are using the report it produced, ‘Top 200 Fastest Rental Growth Suburbs Australia’, to bring you these insights.
If you’re a savvy property investor, these are the suburbs showing promise for continuing rental growth.
Bangalow is a popular destination for its proximity to Byron Bay and rich soil that makes for productive farms.
Fastest rental growth suburbs – NSW
Coming in at first place in the whole of Australia is Bangalow, postcode 2479, where four bedroom rental properties saw a 70% growth in median rent to $1,275 per week. Nearby, Byron Bay came in second for NSW with a median rental growth of almost 48% to $1,550 per week.
Other top 50 suburbs include Stanhope Gardens with 42.85% median growth, and Rose Bay, Kingscliff and Casuarina, each with 33.33% median growth from 2020 to 2021.
Fastest rental growth suburbs – QLD
Queensland’s property market is set to boom in the coming decade, with the state playing host to the 2032 Olympics and thousands of interstate residents relocating to the more affordable sunshine state from Victoria and New South Wales. Like renters in the NSW market, Queensland renters appear to be seeking a seachange, flocking to beautiful coastal towns from the tropical north right down to the Gold Coast.
Queensland’s top performing suburb in terms of median rental growth was Peregian Beach with 54.47% growth to $950 per week for a four-bedroom property in 2021. Peregian Beach was followed by fellow Gold Coast suburbs, Surfer’s Paradise and Burleigh Heads, with 47.5% growth and 38.88% respectively. Further north, Agnes Water came in at 44.4% median rental growth and Sunrise Beach at 36.36%.
You can download the full report, including rental growth data from throughout Australia, from The Real Estate Investar’s website here.
Already own an investment property and looking to sell for a pretty penny? Get ideas that will have buyers lining up around the block in our article, What buyers want in a house: real estate market trends revealed.
