Friday Form Guide: Yields of up to 8.7% in Coffs Harbour
9/20 Joyce Street, Coffs Harbour, NSW, 2450
The tenants of this two-bedroom Coffs Harbour townhouse are paying $190 per week and are on an expired lease. First National Coffs Harbour agent Caroline Campbell says market rent for the property would be about $240 or $250 per week. It is within easy walking distance of the village shopping strip, schools and sports fields.
Campbell is marketing the property with price hopes of $150,000 plus, and if it sells at $150,000 that would secure an investor a gross rental yield of 6.6% at its current rent, far higher than the indicative gross rental yield for Coffs Harbour houses of 5.2%, according RP Data. If it were rented at $250 per week, that would be a remarkable gross rental yield of 8.7%. 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 $1,669 per year, and strata fees are $1,520 per year.
Washington Brown estimates the first-year tax depreciation deduction to be $6,000 and over five years to be $18,000.
The median house price fell in Coffs Harbour fell by 4.9% in the past year, according to RP Data.
The property will be open for inspection on Saturday, March 17 at 10am and will go to auction on Saturday, March 31 at 10am.
For more about prices and yields in Coffs Harbour, see the RP Data suburb page.
For another investment prospect open for inspection this weekend, see page 2.
1/102 David Street, Dandenong, VIC, 3175
This two-bedroom unit is currently rented until November this year at $1,227 per month, meaning it could be a good prospect for investors. It has been recently renovated and has hardwood floors and a carport.
McDonald Real Estate agent Trevor Mendis is markeing the property with price hopes of $240,000 plus. If it sells for $240,000, that would secure an investor a gross rental yield of 6.1%, far higher than the indicative gross rental yield of 4.8% for Dandenong units, 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 $8,000.
The median unit price for Dandenong fell by 1.4% in the past year, according to RP Data.
The property will go to auction on Saturday, March 17 at 11am.
For more about prices and yields in Dandenong, see the RP Data suburb page.
