Northern Rivers kind to landlords
INVESTING in property can pay good dividends or it can be a nightmare, depending on the location and property type you choose to spend your hard-earned dollars.
Property owners across the Northern Rivers who are renting out houses and units are seeing robust rental yields, according to a recent report.
The latest data from Core Logic revealed houses in the NSW Far North Coast rental market in September 2016 achieved an average of a 5% rental yield, an increase of 7.1% over the past 12 months.
Units over the same period were 5.6% and +4.1% retrospectively.
Meanwhile, the median price of dwellings showed a great deal of diversity, with houses in Ballina sitting at $593,940 and units on $408,997.
As houses in Ballina were achieving a rental yield of 4.6%, units were providing better results with 5.2%
In Lismore, house prices were $339, 578 and units were $244, 897, nearly as high as a house in Kyogle, $268,204.
While house prices were lower, Lismore's landlords achieved a rental return of 5.4% and 6.1% for units.
Despite Byron's continued its astronomical growth with houses on $759,541 and units a solid $590,816, rental yields were less than in other regions, sitting at 4.35 and 5.3% respectively.
This means owner-occupiers are better off living in their house, rather than seeking to rent them out.
Homes in Kyogle achieved a median weekly rent of $270, compared with $340 for Lismore,
In a real estate twist, units in the Richmond Valley achieved higher sales prices and lower rental yields with $300,000 and 5.5% while houses were at $282,000 and 6% respectively.
Wal Murray & Co First National Real Estate, property management supervisor, Sue Mitchell said all areas of the Lismore rental market were experiencing high demand.
"The rental market is extremely busy at the moment," she said.
"Properties are moving fast."
Northern Rivers median weekly rents*
Houses / Units
Ballina $455 / $380
Byron $650 / $590
Kyogle $270 (houses only no unit rents recorded)
Lismore $340 / $270
Richmond Valley $290 / $300
*Regional Market Update Core Logic