Best suburbs to invest in: 1141 Qld suburbs where rents have risen

These are the Queensland suburbs where the best investment opportunities lie, with rental income rising up to 50pc in the past year.

THE best Queensland suburbs to invest in have been revealed, with potential rental income rising as much as 51 per cent in some areas over the past 12 months.

House rents have risen in 675 Queensland suburbs, while unit rents have climbed in 466 suburbs across the state in the past year.

SCROLL DOWN TO FIND EVERY QLD SUBURB’S HOUSE AND UNIT RENT

A suburb-by-suburb breakdown by PropTrack shows a number of Gold Coast suburbs recorded the biggest annual jumps in median rents in the state, with landlords in Surfers Paradise, Paradise Point, and Clear Island Waters all charging over $1000 a week in rent on average.

This four-bedroom house at 9 Norseman Court, Surfers Paradise, is advertised for rent for $3000 a week.

In Brisbane, houses in New Farm are commanding rents of around $1000 a week — $230 more than 12 months ago, as are houses in Pullenvale and Ascot.

Unit owners are charging around $600 a week rent for an apartment in Banksia Beach on Bribie Island, as well as in Newstead and Teneriffe.

Cavale head of sales Ari Shahbazifar, who looks after all eight of Cavcorp’s apartment buildings in the Newstead and Teneriffe area, said demand for rentals had been unprecedented — particularly from interstate and international applicants who were applying sight unseen.

“A lot of tenants in the past were local, but now we’re seeing people from Hong Kong and the UK who are applying before they even arrive in Brisbane,” he said.

An artist’s impression of the rooftop wellness amenities at Luminare by Cavcorp.

“I think it’s stemming from the fact we’ve got the Olympic Games coming, so a lot of international businesses are setting up here in preparation for that and there’s just generally more employment opportunities.”

In Cavcorp’s new ‘Luminare’ development, two-bedroom apartments with multi-purpose rooms were attracting above-average rents for the area, and the wellness amenities were also a strong drawcard, Mr Shahbazifar said.

Outside of southeast Queensland, Dundowran Beach near Hervey Bay recorded the biggest rise in annual house rents of $165 a week to $650.

This four-bedroom house at 501-505 Old Port Rd, Craiglie, is advertised for rent for $650 a week.

Craiglie near Port Douglas has also seen a jump in house rents, followed by Cordalba in the Bundaberg region, where tenants are now paying $430 a week on average.

For units, Palm Cove rents have risen around $100 a week in the past year to $488, followed by Port Douglas and Belgian Gardens in Townsville.

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Industry players say there has never been a better time to invest in property in Queensland given the potential rental returns.

This three-bedroom unit at 57/36 Bundock St, Belgian Gardens, is advertised for rent for $850 a week.

Propertyology managing director Simon Pressley said Queensland had perfect market fundamentals for investors, with a combination of economic growth, lack of supply, and record low listings.

But Mr Pressley said there were factors to consider before choosing where to invest.

“You don’t want to put too much capital into any one asset,” Mr Pressley said.

“To buy a house in Brisbane, you won’t get change out of $800,000 — and that’s 20km from the CBD. It’s even higher on the Gold Coast and Sunshine Coast.

Propertyology managing director Simon Pressley.

“Only ever buy detached houses. Never buy apartments or duplexes. They’ll grow, but not at same rate.”

Mr Pressley said there were more affordable options with more diverse economies in parts of regional Queensland.

Under $700,000, he likes Cairns, Townsville, Hervey Bay, Maryborough, Bundaberg, Toowoomba, Warwick, and the Scenic Rim.

“They have superior outlooks to most other capital cities,” he said.

Hotspotting director Terry Ryder also believes regional Queensland has a number of large cities with growth economies and big infrastructure spends, which also offer affordable house prices and higher yields to offset rising interest rates.

“From Townsville and Cairns in the far north, through Central Queensland centres like

Rockhampton and Gladstone, and out west of Brisbane to Toowoomba and the Darling Downs, regional Queensland offers a lot of worthy possibilities for property investors,” Mr Ryder said.

Hotspotting director Terry Ryder.

“When you can buy good residential properties for well below $500,000 and get yields above 6 per cent in regional cities with growth dynamics, that’s good investing in the current climate.”

In Greater Brisbane, Mr Ryder’s picks for investors are Ipswich, Wynnum, Logan Reserve, and the southern Moreton Bay Islands.

Cohen Handler Queensland managing director Jordan Navybox said his investor clients in the sub $800,000 category were enjoying high-grade positive cash flow investments — even after interest rate rises.