Key Factors for Selecting a High-Performing Investment Property

1. Proximity to Amenities: Properties close to essential services like schools, shopping centers, parks, and public transport tend to attract more tenants and buyers, increasing demand and, in turn, property value.

2. Street Appeal: First impressions matter. Properties with good street appeal, such as well-maintained facades and attractive landscaping, tend to attract better tenants and buyers, suggesting quality.

3. Future Infrastructure Development: Keep an eye on planned infrastructure projects in the area, such as new highways and public transport links. These developments can increase property values and rental demand as accessibility improves.

4. Low Vacancy Rates: Suburbs with low vacancy rates indicate strong rental demand. When selecting an investment property, consider areas where rental properties are consistently in demand to minimize the risk of prolonged vacancies.

5. Capital Growth Potential: Research the historical growth rates of a suburb. Areas with consistent capital growth are likely to continue appreciating over time, making market trend analysis crucial for identifying strong potential areas.

6. Zoning and Development Potential: Properties with favorable zoning or development potential can add long-term value. Look for opportunities to subdivide, add a granny flat, or redevelop in the future.

7. Quality of the Building: Invest in properties with solid construction and minimal maintenance needs. Buildings that require frequent repairs can erode rental returns, so opt for properties that are structurally sound with quality finishes.

Suburb Profiles

Scone, NSW 2337

• Median House Price: $530,000
• Price Change (12 months): +5.1%
• Median Weekly Rent: $500
• Rental Yield Average: 5.13%
• Rental Growth (12 months): +6.98%​(
  PropertyInvestSoft
  )​(
  Yourinvestmentpropertymag.com.au
  ) .

Murrurundi, NSW 2338

• Median House Price: $420,000
• Price Change (12 months): +35.48%
• Median Weekly Rent: $428
• Rental Yield Average: 6.01%
• Rental Growth (12 months): +9.8%​(
  Smart Property Investment
  )​(
  Yourinvestmentpropertymag.com.au
  ) .

Aberdeen, NSW 2336

• Median House Price: $490,000
• Price Change (12 months): -3.26%, but +12.38% over 2 years
• Median Weekly Rent: $480
• Rental Yield Average: 5.09%
• Rental Growth (12 months): +11.62%​(
  PropertyInvestSoft
  )​(
  Allhomes
  ) .

Muswellbrook, NSW 2333

• Median House Price: $500,000
• Price Change (12 months): +6.84%
• Median Weekly Rent: $500
• Rental Yield Average: 5.36%
• Rental Growth (12 months): +5%​(
  Yourinvestmentpropertymag.com.au
  )​(
  Smart Property Investment
  ) .

Merriwa, NSW 2329

• Median House Price: $340,000
• Price Change (12 months): +6.5%
• Median Weekly Rent: $370
• Rental Yield Average: 6.1%
• Rental Growth (12 months): +3.1%​(
  PropertyInvestSoft
  )​(
  Smart Property Investment
  ) .

Denman, NSW 2328

• Median House Price: Strong growth with a 13.97% rise over the past year
• Median Weekly Rent: $460
• Rental Yield Average: 4.51%
• Rental Growth (12 months): +9.52%​(
  PropertyInvestSoft
  )​(
  Yourinvestmentpropertymag.com.au
  ) .

Conclusion

The Upper Hunter region presents a diverse array of investment opportunities with varying capital growth and rental yields. Each suburb offers unique advantages for property investors, whether seeking capital appreciation or steady rental income. By considering the factors outlined above, clients can make informed decisions when selecting high-performing investment properties.

For tailored advice and to explore the best options for your investment portfolio, contact Dawson Estate Agents today on 02 6545 9993!