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39 affordable suburbs with growth better than Sydney and Melbourne
According to new research, 39 suburbs have been outlined as hotspots with growth prospects superior to those of Sydney and Melbourne.
Data from Propertyology has revealed 39 separate locations which can provide investors with optimal returns and median house prices under $400,000.
“I am not a betting man however, each of these 39 locations have a superior three-year outlook to Sydney and Melbourne,” said Simon Pressley, Propertyology’s managing director.
“Some home owners, particularly in the big cities, think nothing of spending $400,000 on a renovation or $800,000 to $1 million to buy a single property.
“However, for the same amount, you can buy two or more affordable properties in locations with considerable upside growth potential and rental returns that generate positive or near-positive cash flow.”
By assessing the total return of capital gains plus rental income over a longer term, the majority of the affordable suburbs outperformed capital city markets, yet Mr Pressley still sees those from capital cities underestimating these non-capital city areas.
“One in three Australians have chosen not to live in capital cities. Much improved employment opportunities in regional locations combined with housing affordability constraints in big cities increases demand in the many wonders of regional Australia,” he said.
“Affordable property is available in every state and territory, so there is no need to buy property in locations that are past the peak of the latest cycle and will burden you with significant out-of-pocket expenses.
“Interstate migration figures are already showing a shift away from Sydney to affordable lifestyle locations, many of which are now accessible by a 1-hour direct flight.”
The 39 affordable suburbs with high growth prospects, according to Propertyology, are:
