Weekend yield watch: Yields of up to 6.2% in Granville as none of Form Guide properties sell

2/14 Hewlett Street, Granville, NSW, 2142

This two-bedroom apartment in the Sydney suburb of Granville includes a car space and is tenanted at $340 per week. The lease is currently expired but the tenant is keen to stay on, and a relatively high yield could make the property attractive to an investor. Run Property agent Rebecca Hall is marketing the property with price hopes of $285,000 plus. If it sells for $285,000 that would secure an investor a gross rental yield of 6.2%, about the same as the gross indicative rental yield for Granville apartments of 6%, according to RP Data. The gross rental yield does not consider the costs of maintaining the property, including council rates and other fees such as water bills and managing agent fees. Council rates are approximately $224 per quarter, Sydney Water rates are approximately $157 per quarter, and strata levies are approximately $479 per quarter. Washington Brown estimates the first-year tax depreciation deduction to be $4,000 and over five years to be $9,000. The property is close to schools, shops and the train station. It was passed in on a vendor's bid of $280,000 at auction on October 29 and is in negotiations. 

For more information about yields and prices in Granville, see the RP Data suburb page.

For more investment prospects going to auction this weekend, see pages 2 and 3.

402/2 Jones Bay Road, Pyrmont, NSW, 2009

This one-bedroom apartment with Harbour Bridge views is tenanted at $500 per week and includes a car space. Kho and Lee Property Group agent Sami Yildiz is marketing the unit with price hopes in the "early $500s", about $510,000 or $520,000 plus. If it sells for $510,000 that would equate to a gross rental yield of 5.1%, about the same as the indicative gross rental yield for Pyrmont apartments of 5%. The gross rental yield does not consider the costs of maintaining the property, including council rates and other fees such as water bills and managing agent fees. Washington Brown estimates the first-year tax depreciation deduction to be $13,000 and over five years to be $40,000. The building includes a gym and a swimming pool, and it is within walking distance of Darling Harbour. The unit was withdrawn from auction shortly before it was due to go under the hammer on October 29 and is in negotiations. 

For more information about prices and yields in Pyrmont, see the RP Data suburb page.

5 Oakton Close, Wheelers Hill, VIC, 3152

In a cul-de-sac, this two-bedroom, two-bathroom property is tenanted at $380 per week until the end of the year. McDonald Real Estate agent Brian Grace is marketing the property with price hopes of $585,000 plus, and if it sells at that price it would secure an investor a gross rental yield of 3.5%, about the same as the indicative gross rental yield for Wheelers Hill houses of 3.2%, according to RP Data. The gross rental yield does not consider the costs of maintaining the property, including council rates and other fees such as water bills and managing agent fees. Washington Brown estimates the first-year tax depreciation deduction to be $5,000 and over five years to be $12,000. The property is within easy walking distance of Wheelers Hill Secondary Collegeand is close to Brandon Park and Waverley Gardens shopping centres. The property was passed in on a vendor's bid of $565,000 at auction on October 29. It had an earlier bid of $540,000 and had a reserve of $585,000. The property remains for sale.

For more about prices and yields in Wheelers Hill, see the RP Data suburb page.