Rental properties in suburban Newcastle are delivering some of the highest investment yields in the nation, new data shows.
The latest Domain Rental Report shows other hot suburbs included Adamstown Heights (7.8%), Maryville (6.5%) and Ashtonfield (6.5%). Median weekly rents for houses in the above suburbs were between $450 and $548.
“There’s a mix of things happening in the Hunter. Newcastle is going through a huge transformation, while areas like Maitland and Lake Macquarie are also experiencing very strong growth.”
Lake Macquarie and Port Stephens local government areas had the highest year on year rental yield for houses with an average return of 5%. They were was followed by Cessnock at 3.7% and Newcastle with 2.4%.
For units Lake Macquarie had the highest average return at 8.5%. It was followed by Newcastle with 7.1%, Cessnock at 3.7% and Port Stephens at 2.3%.
Real Estate Institute of NSW statistics show the combined vacancy rate for units and houses in Newcastle increased from 1.4% in 2008 to 4.6% in 2015 to 3% in the first quarter of 2018.
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