What yeilds are being generated in Melbourne apartments?

Hi there, new to this group and seeking thoughts/experiences of others.

My partner and I are looking into the yield of 1 bedroom apartments, in city fringe locations south of the Yarra. Plan is to buy in an older block, live in for a year at least, add value for tenants then move on and rent out.

Best gross yeild found thus far is 5.9%, net yield about 4.5%.

What are the experiences of others with Melbourne apartments?

Thanks

 

Melbourne CBD apartment market is well and truly over supplied ..

I'll think hard before taking this step (if it's purely from investment perspective long term). Melbourne still offers some good investment buys in some of the middle/outer zone..

Cheers,

 

Due to the oversupply, we thought now may be a good time to buy are there are not many other buyers around? May be able to pick up a good deal. If the right yield can be generated to be cashflow positive and paid off over 20 years paying P&I. Areas we're looking in are close to transport and amenities and in our opinion should be in demand from tenants.

Would you recommend staying away from apartments due to lack of capital gain?

Thanks

 

I will surely steer clear of Apartments in Melb CBD...

Goes without saying best combination is growth and rental yield. Yield in Melbourne burbs is not the best at this point. And the city that offers best prospects for growth & good rental yield is Brisbane..

Just helped client close deal in Qld with strong growth potential and rental yield of around 5.4% gross..

Feel free to inbox anytime if got questions..

Cheers,

 

VIC - Melbourne CBD apartments - what??!