Powered by MOMENTUM MEDIA
Brisbane suburbs

Inner-east Brisbane suburbs prime for investment in 2020

by Bianca Dabu | February 11, 2020
research
1 minute read

Inner-east Brisbane suburbs prime for investment in 2020

February 11, 2020

The stability that it has demonstrated over the years has proven Brisbane’s potential as a property market. How can investors maximise opportunities in the Queensland capital this 2020?

Both housing and unit markets in inner-east Brisbane present strong investment opportunities this near year, according to new insights from OpenAgent.com.au.

Murarrie, Cannon Hill and Morningside saw the highest rental yields for units at 5.90 per cent, 5.68 per cent and 5.28 per cent, respectively.

For houses, the highest rental yields were found in Murarrie, Morningside and Cannon Hill, with 4.38 per cent, 4.05 per cent and 4.01 per cent, respectively.

Seeing as rental yields for units are significantly higher than for houses, investors are advised against making decisions based on this single growth driver, OpenAgent.com.au data analyst Carson Teh said.

Advertisement
Advertisement

According to him, calculating rental yield based only on rent and median property prices usually produce higher values for units than houses.

However, other factors must be considered to determine actual investability.

“It’s important to calculate yield for specific properties that you’re looking at and to include expenses like strata, property management and utilities to get a more accurate representation on the return you’ll be getting.”

“Comparing the most recent census to the one before, the population has grown in all mentioned inner-east Brisbane suburbs.”

“These existing population trends should underpin demand into the future,” Mr Teh highlighted.

Class Real Estate’s agent John Kubatov explained further: “The postcode 4170 has lots of infrastructure like train lines, good main roads, good bus services, close to shopping centres.”

Over the past 12 months, the houses of Cannon Hill, units of BalmoralBalmoral, NSW Balmoral, QLD Balmoral, NSW and units of Bulimba saw the largest increases in weekly rent prices at +8.16 per cent, +5.14 per cent and +4.17 per cent, respectively.

Meanwhile, low vacancy rates can be found in Murarrie (1.90 per cent), Cannon Hill (2.50 per cent) and Morningside (2.50 per cent).

Suburb Property type Median price Rental yield Change in rental rate Vacancy rate
Balmoral Units 467,500 4.01% +5.14% 3.20%
Bulimba Units 650,000 4.05% +4.17% 3.20%
Cannon Hill Houses 725,750 4.38% +8.16% 2.50%
Cannon Hill Units 430,000 4.73% +2.38% 2.50%
HamiltonHamilton, QLD Hamilton, NSW Hamilton, VIC Units 480,000 4.71% +1.19% 4.40%
HawthornHawthorn, VIC Hawthorn, SA Units 498,500 5.68% +1.27% 3.20%
Morningside Houses 786,000 5.19% +3.85% 2.50%
Morningside Units 449,000 4.52% +2.38% 2.50%
Murarrie Houses 635,000 5.28% +0.51% 1.90%
Murarrie Units 527,500 5.90% +2.06% 1.90%
Inner-east Brisbane suburbs prime for investment in 2020
Brisbane suburbs
spi logo

Subscribe to get the latest news and updates - join a community of over 80,000 property investors.

Check this box to receive podcast updates

From the web

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.