WA dominates rental yield survey

By the resi financial blog team, 06 January 2014

Rental yields in WA

Seven out of the top ten communities where the year's highest rental yields have been recorded are in Western Australia, according to new information published this week by RP Data.

If you are looking to refinance investment property in WA or you are considering your options as a first-time investor, there are a number of suburbs that are linked to the state's booming mining industry and may be worth a second look.

The latest figures, which were revealed by the research body earlier this week, show that the East Pilbara community of Newman - a mining town located approximately 1,186 km from Perth - has the highest rental yields in the nation at 14 per cent.

Elsewhere in WA, the communities of South Hedland and Port Hedland performed strongly this year, with rental yields recorded at 9.5 per cent and nine per cent, respectively.

The mining town of Cambalda West was the other WA suburb to rank within the top five for rental yields this year, also achieving a nine per cent return. This community is situated in south-eastern WA and is home to a large population of renters - in 2011, RP Data figures suggested that only 54.5 per cent of the town's residents were owner-occupiers.

South Boulder, Pegs Creek and Kambalda East were also WA communities that ranked within RP Data's top ten spots for investors to watch, with rental yields of 8.8 per cent, 8.8 per cent and 8.7 per cent, respectively.

Non-WA suburbs on the list included the rural Queensland town of Miles in the number two spot with rental yields of ten per cent, as well as the isolated NSW mining city of Broken Hill, which saw rental yields of nine per cent.

Categories: Property Investment