Friday form guide: Yields of up to 5.2% in Williamstown

3/31 Dover Road, Williamstown, Vic 3016

The tenants of this one-bedroom apartment are paying $1,213 a month and are on a lease until March of next year. The ground-floor unit is within walking distance of The Strand Waterfront, Douglas Parade shops and cafes, as well as the train station. 

Williams Real Estate agent Lauren Montebello is marketing the property with price hopes of $280,000 plus, and if it sells for that price, that would secure an investor a gross rental yield of 5.2% at its current rent, well above the gross rental yield for Williamstown houses of 3.7%, 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 $4,000 and over five years to be $11,000.

The median house price in Williamstown fell 3.3% in the past year but rose 33.8% in the past five years, according to RP Data.

The property will go to auction Saturday, September 1 at 12.30pm.

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

For another investment prospect going to auction this weekend, see page 2.

8 Henderson Street, Merrylands, NSW, 2160

The tenants of this two-bedroom house have been in residence for 15 years and are paying $425 a week. Laing + Simmons listing agent Jas Singh says it could potentially fetch $10 or $15 more a week but that the vendor is happy to have a stable tenant rather than insist upon market rent. The weatherboard cottage on 525 square metres has high ceilings, a garage and a small study. 

Singh is marketing the property with price hopes in the "early to  mid-$400,000s", and if it sells for  $450,000 it would secure an investor a gross rental yield of 4.9%, about at the median gross rental yield for Merrylands houses of4.6%, 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.

Washington Brown estimates the first-year tax depreciation deduction to be $3,000 and over five years to be $6,000.

The median house price in Merrylands rose 1.1% in the past year and rose 24.7% in the past five years, according to RP Data.

The property will be open for inspection Saturday, September 1 at 11.15 and will go to auction Saturday, September 22 at noon.

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