Mining's clean sweep on RP Data's 10 top rental yield locations

It was interesting to review RP Data's top locations with the highest 2013 yields across the nation for houses.

All 10 were within regional mining precincts. So, for mine, high risk. Perhaps only Miles, with its rural industries, has the closest to the requisite diversifaction of employment opportunity.

The highest rental yields were  in the Pilbara region of Western Australia, with the iron ore hotspots of Newman, Port Hedland and South Hedland among the top five towns.

But here's the list for your consideration. The results are based on gross estimated value rental yield.

Around the nation rental yields typically range between three to six per cent.

1 Newman, East Pilbara, Pilbara, WA Rental Yield: 14.0% (from 18 rental observations)

Newman is a mining town located 1,186 kilometres north of Perth. Built in the 1960's after the discovery of rich iron deposits on nearby Mount Whaleback, the town is served by Newman Airport.

2 Miles, Dalby, Darling Downs, QLD Rental Yield: 10.0% (from 49 rental observations)

Located 340 kilometres west of Brisbane on the Warrego Highway, Miles is a rural town with a population of only 1,854 according to 2011 Census data.

3 South Hedland, Port Hedland, Pilbara, WA Rental Yield: 9.5% (from 230 rental observations)

South Hedland had a population of 9,375 at the 2011 Census and was originally designed as a satellite city to Port Hedland.

4 Kambalda West, Coolgardie, South Eastern, WA Rental Yield: 9.0% (from 86 rental observations)

This small mining town is located 616 kilometres east of Perth. Kambalda was originally mined for gold but nickel was discovered soon after. In 2011, 54.5% of Kambalda West homes were owner occupied.

5 Port Hedland, Port Hedland, Pilbara, WA Rental Yield: 9.0% (from 123 rental observations)

The second largest town in the Pilbara region of Western Australia, Port Hedland is known for the shipment of iron ore. In 2011, only 19.6% of homes in Port Hedland were owner occupied.

6 Broken Hill, NSW, Far West, NSW Rental Yield: 9.0% (from 331 rental observations)

Another mining city, Broken Hill is extremely isolated with the closest major city (Adelaide) more than 500 kilometres away. Broken Hill is Australia's longest-lived mining city and in 2011, 74.6% of homes were owner-occupied.

7 Boggabri, Narrabri, Northern, NSW Rental Yield: 8.9% (from 24 rental observations)

This small town is located in north-western New South Wales. The town features two local primary schools and a railway station.

8 South Boulder, Kalgoorlie/Boulder, South Eastern, WA Rental Yield: 8.8% (from 14 rental observations)

South Boulder is located 595 kilometres east of Perth. According to 2011 Census data, the population was 1,459 and 64.7% of homes were owner-occupied.

9 Pegs Creek, Roebourne, Pilbara, WA Rental Yield: 8.8% (from 107 rental observations)

Pegs Creek is located 1252 kilometres north of Perth. Pegs Creek had a population of 1,878 in 2011 according to Census data.

10 Kambalda East, Coolgardie, South Eastern, WA Rental Yield: 8.7% (from 31 rental observations)

Kambalda East is located 616 kilometres east of Perth. Kambalda was originally mined for gold but nickel was discovered soon after. In 2011, 56.6% of Kambalda East homes were owner occupied.