Rental income on property in Brisbane and other parts of Queensland

Rental income on property in Brisbane and other parts of Queensland

Rental income on property in Brisbane and other parts of Queensland

Rental prices BrisbaneFor those of you considering investing in a property to rent out you may wish to take a look at the quarterly data produced by the Residential Tenancies Authority as part of your research into whether such a business venture is worthy of serious consideration. They provide both historical and up to date financial information about the average rental income that you may expect to receive on various types of rental properties and in different locations.

Of course, whilst this information is extremely useful in helping you make a decision, just because the average rental income in a particular area may have risen for the last two or three years does not mean to say that this pattern will continue as a number of factors could impact on the level of rental income being achieved. For instance, if you were to purchase an investment property in a mining town to rent out but the mines ceased to operate you could be left with a property that is difficult to rent out.

If you look at some of the data for Brisbane as at 30 June 2013 you will find that there has been a moderate level of growth in Brisbane City with a two-bedroom property achieving a median weekly rent of $390 ($385 as at June 2012). A house with three bedrooms is averaging rent of $410 a week ($400 as at June 2012). In the outer areas of the city average rentals have seen gains with Ipswich City increasing from $280 to $290 and Redcliffe from $325 to $340.

If you go further afield to Mackay you will find that rental income has dropped due to over-building with a three-bedroom house achieving a median weekly income of $440 whereas twelve months ago you would have achieved $460. The reverse can be found in places like the Sunshine Coast with a three-bedroom home achieving an average weekly rent of $380 ($270 twelve months ago).

The biggest changes can be found in towns within the Surat Basin CSG such as Miles with a three-bedroom house achieving a weekly rent of $500 compared to $350 a year previously.

As at the end of June 2013 Australia’s eight capital cities achieved an average gross rental yield of 4.9% ranging from Melbourne at 4.4% to Darwin at 6.2%. Brisbane achieved a commendable 5.7%.

So, there is the potential to achieve a reasonable return on an investment property that you subsequently rent out but you need to do your research before entering into such a venture to give yourself the best opportunity of making a success of it.

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