Gold Coast's Highest Yielding Suburbs 2018

For higher rental returns, it seems investors had best look to the outer suburbs of the Gold and Tweed Coast.

Helensvale was the best performer in a list of highest gross rental returns for units, while Nerang topped the list for Gold Coast houses.

In a more surprising note, some of the Coast’s favourite hotspots didn’t make the list with both Burleigh Heads and Miami coming in under 4% yields from 12 months to February 2018.

 

WHAT IS YIELD AND WHY IS IT IMPORTANT? 

A yield is a measurement of future income on an investment and investors find this important when determining if a property will be cashflow positive or negative.

A quick way to work out a yield in your head is that 5.2% yield is approximately $1 of rent per $1000 of price. Example 5.2% rental yield on a property at $400,000 purchase price would be $400 a week rent. ($400 X 52 = $20,800 divided by $400,000 = 5.2%).

Many investors have found that high yielding properties can come at a cost of little capital growth, negative cashflow or increased risk, so assessing a property for potential drivers of capital growth as well as yield becomes critical for your portfolio growth.

TOP SUBURBS

UNITS

  1. Helensvale – 6.7%
  2. Ashmore – 6.6%
  3. Coombabah – 6.3%
  4. Arundel – 6.3%
  5. Robina – 6.2%
  6. Elanora – 6%
  7. Coomera – 6%
  8. Molendinar – 6%
  9. Pacific Pines – 6%
  10. Parkwood – 5.9%
  11. Tweed Heads West – 5.9%
  12. Currumbin Waters – 5.8%

HOUSES

  1. Nerang – 4.9%
  2. Molendinar – 4.9%
  3. Varsity Lakes – 4.8%
  4. Merrimac – 4.8%
  5. Tweed Heads South – 4.8%
  6. Elanora – 4.7%
  7. Bilambil Heights – 4.7%
  8. Carrara – 4.5%
  9. Labrador – 4.5%
  10. Robina – 4.4%
  11. Currumbin Waters – 4.3%
  12. Tugun / Bilinga – 4.2%

(Source: Realestate.com.au)

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