Real estate investments are always worth it in Australia whether you are buying to sell or rent, and you get even better returns if you find the best suburbs to invest in.
If you are a property investor, below is a list of the best suburbs to invest in that will most likely deliver good returns on investment and are worth checking out.
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7 best suburbs to invest in 2022
1. Maroubra
- Median house price: $2,955,000
- Rental yield for houses: 2.0%
- Rental yield for units: 3.2%
The first on this list of best suburbs to invest in 2022 is none other than Maroubra. Maroubra is one of the prime Sydney suburbs located southeast of the CBD.
With a total population of 29,594 and about a distance of 10 km from the Southeast CBD, this suburb with a walk score of 74 is one of the best suburbs to invest in.
The reasons why getting an investment property in this suburb is a good idea are not farfetched.
The median house price in Maroubra is $2,955,000. This is a whopping 33.3% compound growth over five years.
While the average unit price is $1,000,000, there has been a 14.9% increase in the last five years.
Houses in Maroubra rent out for $1,050 per week, while units go for $580 per week.
The annual rental yield for houses and units is 2.0% and 3.2%, respectively.
The high population here is also a significant reason why investing in real estate here is a good choice, as properties are always in high demand.
2. Elsternwick
- Median house price: $2,200,000
- Rental yield for houses: 2.2%
- Rental yield for units: 3.6%
This is one of the best Melbourne suburbs to invest in. Elsternwick is a highly sought-after suburb located just about 9 km from the Melbourne CBD.
The good amenities, standard schools, and the beach are part of the things that make this suburb enticing, especially for families. With a population of over 10,000 people here, your investment property will always be in high demand.
The median house price in Elsternwick is $2,200,000, which is a 9.0% growth over five years.
The median unit price is $661,000, with a compound growth of 3.3% in five years.
Houses in this suburb rent out for $780 per week, while units go for $430 per week.
The annual rental yields for houses and units are 2.2% and 3.6%, respectively.
About 32.10% of the people who live in Elsternwick do not own accommodation, making it a good place for property investors.
3. Wilston
- Median house price: $1,100,000
- Rental yield for houses: 3.02%
- Rental yield for units: 4.29%
Are you looking for the best suburbs to invest in for 2022? Wilston is one good suburb in Brisbane you might want to consider.
The average listing price for houses in Wilston is $1,100,000, which is a 10.0% compound growth over the last two years.
The average rent in this suburb for houses is $640 per week, with a rental yield of 3.02%.
While the price of units is $330 per week, the rental yield is 4.29%. With 31.16% of the total population in Wilston living in rental accommodation, investing in real estate here is a smart business decision.
The low cost of transportation, proximity to many schools, and great restaurants are among the numerous reasons people choose to reside in Wilston.
People generally find living here satisfying, so the properties are always sought after, making it one of the best suburbs to invest in.
4. Kensington
- Median house price: $1,200,000
- Rental yield for houses: 2.7%
- Rental yield for units: 4.2%
If you are looking for the best suburbs to invest in, Kensington is one of the greater Sydney suburbs you should focus on.
The average house price here is $1,200,000, which is a 14.0% growth over the past five years.
The median unit price in Kingston is $531,000. Houses here rent out for $570 PW, while units rent for $380 PW.
The annual interest yields for houses and units are 2.7% and 4.2%, respectively.
People who choose to settle down in this suburb do so because of its closeness to nature.
You can always have the feel of nature in any of the many parks found in Kensington.
The hospitality of the neighbourhood, great cafes, and restaurants found here make it an exciting place to live.
Investing in any property in Kensington will yield great returns as people will always seek after houses here.
5. Caulfield
- Median house price: $1,905,000
- Rental yield for houses: 2.2%
- Rental yield for units: 3.5%
Caulfield is one of the eastern suburbs of Melbourne’s CBD in the south and is known for its great tram and train networks.
The median house price in Caulfield is $1,905,000, while the average unit price is $818,250.
The average unit price witnessed a 3.6% increase over the past five years.
Property investors would have great results in this area as it is highly sought after by renters and prospective homeowners.
Houses in this suburb rent out for $740 PW with an annual rental yield of 2.2%, while units rent for $425 PW with a rental yield of 3.5%.
6. Taringa
- Median house price: $1,411,000
- Rental yield for houses: 2.5%
- Rental yield for units: 4.9%
This is a lovely suburb located north of Brisbane and is worth considering if you are thinking of property investment.
With sporting fields, cinemas, cafes, restaurants, and a good transportation system, almost everyone will love to reside here.
No doubt, this is a great place to live, which makes it one of the best suburbs to invest in 2022.
The median house price in this area is $1,411,000, representing a 35.0% compound growth over the last five years.
While the average unit price here is $473,000, there has been an 8.5% cumulative growth over the last five years.
Investing in this suburb is a good financial decision.
7. Coogee
- Median house price: $3,710,000
- Rental yield for houses: 2.1%
- Rental yield for units: 2.7%
Coogee is located southeast of Sydney’s CBD and is one suburb to consider for long-term investment.
The median price of houses in this suburb is $3,710,000, while the average unit and apartment price is $1,450,000.
Undoubtedly, Coogee is one of the best suburbs to invest in 2022, especially with its compound growth of 20.5% for houses and 19.3% for units in the last five years.
Many people choose this suburb because it’s one of the safest in Sydney.
It also has good parks and eateries available. It is worthy of note that houses in Coogee rent out for $1,400 PW while units rent for $650 PW, with an annual rental yield of 2.1% and 2.7%, respectively.
Investing in this suburb will definitely be a good decision.
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