SW market attractive to investors
A recent report by a property investment agency shows the South West rental market is a “hot bed” because of high rental yields.
Momentum Wealth’s Residential Regional Property Report lists Busselton, Dunsborough, Margaret River and Collie as areas beneficial to an investor’s portfolio.
The current rental yields are 4.8, 4.5, 4.1 and 4.4 per cent respectively.
Momentum Wealth managing director Damian Collins said short-term letting services could allow investors to maximise their returns.
“Investors can take advantage of the region’s burgeoning tourism market and use alternative strategies such as short-stay websites like Airbnb, to boost rental yields,” he said.
Margaret River real estate agent Ken Preston said investors were attracted to the high rental yields.
“A number of buyers are really interested in this due to the higher returns and flexibility it provides for them to use the property at various times,” he said.
Mr Preston also said for longterm renters, the price in Margaret River was higher than other South West areas.
“The average rent in Margaret River is $400-$425 per week for a 4x2,” he said.
Realestate.com.au shows the average rent for Bunbury is $330 a week and Busselton $350 a week.