ME reveals the top 20 suburbs for Australian property investors
After retreating during the early stages of the pandemic, it appears that investor interest in the property market has come roaring back. At least, that’s the picture painted by the latest home loan data from the Australian Bureau of Statistics (ABS).
Lending figures from the ABS reveal that after dropping to a decade-low $4.2 billion in May 2020, new loan commitments made by investors have marched higher and higher in the year and a half since.
New borrowing reached $9.6 billion in September (the latest data available) suggesting that - unlike owner occupiers who have been backing away from new loans - investors may be less fazed by rising property prices. At least, for now.
And it’s with this backdrop of strong investor enthusiasm that ME Bank has released a new report which explores the best places in Australia for investors to buy.
Based on research conducted by planning and economics firm Ethos Urban, the report outlines the top 20 suburbs in the country for residential property investors to buy in, based on criteria such as population growth, rental yields, house and rental prices, transport infrastructure and the attractiveness of suburbs to renters.
So which areas came out on top? Woolloongabba, in Brisbane’s inner east, took out the number one spot, followed by fellow Sunshine State suburb Burleigh Heads in second and Sydney’s Five Dock in third.
Overall, suburbs in New South Wales accounted for 45% of the top 20 followed by those in Queensland which made up 25% of the list. Here’s the full rundown:
Australia’s top 20 best places to invest - ME
Suburb | Primary dwelling type |
1. Woolloongabba (QLD) | Apartment |
2. Burleigh Heads (QLD) | Apartment |
3. Five Dock (NSW) | House |
4. North Melbourne (VIC) | Apartment |
5. Rozelle (NSW) | Townhouse |
6. Ellenbrook (WA) | House |
7. Parramatta (NSW) | Apartment |
8. Crows Nest (NSW) | Apartment |
9. Preston (VIC) | House |
10. South Melbourne (VIC) | Apartment |
11. Yanchep (WA) | House |
12. Waterloo (NSW) | Apartment |
13. Coffs Harbour (NSW) | House |
14. North Sydney (NSW) | Apartment |
15. Pyrmont (NSW) | Apartment |
16. Claremont (WA) | House |
17. Mermaid Beach (QLD) | Apartment |
18. Miami (QLD) | Apartment |
19. Concord (NSW) | House |
20. Fairfield (QLD) | House |
According to ME’s Consulting Demographer, Chris McNeil, one of the common themes that links the top performing suburbs as being potentially good areas for investors is new transport infrastructure.
“Woolloongabba, for example, is already serviced by two train stations and the new Cross City Rail Project will provide a new line running directly under the suburb, increasing connectivity and changing the way people use the area. This will only be bolstered in the coming years as Brisbane prepares its infrastructure for the 2032 Olympics,” he said.
“Add to this the exciting atmosphere in Logan Street, its rapid population growth and steady house price growth, it really does offer a unique opportunity for those looking to invest in the residential property market.”
McNeil also noted that while there were no suburbs in the ACT, Northern Territory, South Australia or Tasmania on the top 20 list, that was more of a reflection of some of the major infrastructure projects being developed in the other states and not due to a lack of investment options.
RELATED: Capital gains tax: A guide for property investors
Weighing up a property investment move of your own in the near future? While you’re researching great locations to buy in, don’t forget to take the time to find a home loan that suits your needs too.
Our investment loans comparison table makes it easy to compare interest rates, fees, features and more on a range of loans all in the one place. Or if you’re interested in getting started straight away, check out some of the great offers in the table below.
Investment property loan comparisons on Mozo
Promoted
-
Unloan Variable
- Investment
- LVR <80%
- Interest rate
-
6.29
%
p.a.
Variable
- Comparison rate
-
6.20
%
p.a.
- Initial monthly repayment
-
$3,092
Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for investors. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.
- interest rate
-
6.29% p.a. (6.20% p.a.*)
- Fixed loan revert rate
-
n/a
- Upfront fees
-
$0
- Ongoing fees
-
$0.00
- Discharge Fee
-
$0.00
- Package
-
-
- Maximum loan to value ratio
-
80.00%
- minimum borrowing amount
-
$10,000
- maximum borrowing amount
-
$10,000,000
- type of mortgage
-
Variable
- Repayment types
-
Principal & Interest
- Availability
-
Investor
- Repayment options
-
$3,092
- Extra repayments
-
yes - free
- Redraw facility
-
yes - free
- Minimum redraw amount
-
-
- Offset account
-
no
- Split account
-
no
- Other restrictions
-
-
- Other benefits
-
Rate discounted by 0.01% p.a. every year up to a maximum discount of 0.30% p.a..
- Special Offers
-
-
Read reviews and learn more about Unloan home loans
Go to site -
Variable Investor Home Loan 80
- Investor
- Principal and Interest
- LVR<80%
- Interest rate
-
6.34
%
p.a.
Variable
- Comparison rate
-
6.36
%
p.a.
- Initial monthly repayment
-
$3,108
Affordable home loan rate for buyers or refinancers.. No monthly or ongoing fees. Option to add an offset for 0.10%. Access to savings with unlimited redraws available. Minimum 30% deposit required.
- interest rate
-
6.34% p.a. (6.36% p.a.*)
- Fixed loan revert rate
-
n/a
- Upfront fees
-
$530
- Ongoing fees
-
$0.00
- Discharge Fee
-
$0.00
- Package
-
-
- Maximum loan to value ratio
-
80.00%
- minimum borrowing amount
-
$50,000
- maximum borrowing amount
-
$2,000,000
- type of mortgage
-
Variable
- Repayment types
-
Principal & Interest
- Availability
-
Investor
- Repayment options
-
$3,108
- Extra repayments
-
yes - free
- Redraw facility
-
yes - free
- Minimum redraw amount
-
$0.00
- Offset account
-
yes
- Split account
-
yes
- Other restrictions
-
Offset sub-account available for additional +0.10%. $300 discharge fee and $250 discharge documentation fee applicable if loan doesnt go to full term.
- Other benefits
-
-
- Special Offers
-
-
Read reviews and learn more about loans.com.au home loans
Go to site -
Neat Home Loan
- Investor
- Principal & Interest
- LVR <60%
- Interest rate
-
6.24
%
p.a.
Variable
- Comparison rate
-
6.26
%
p.a.
- Initial monthly repayment
-
$3,075
- interest rate
-
6.24% p.a. (6.26% p.a.*)
- Fixed loan revert rate
-
n/a
- Upfront fees
-
$250
- Ongoing fees
-
$0.00
- Discharge Fee
-
$300.00
- Package
-
-
- Maximum loan to value ratio
-
60.00%
- minimum borrowing amount
-
$80,000
- maximum borrowing amount
-
$5,000,000
- type of mortgage
-
Variable
- Repayment types
-
Principal & Interest
- Availability
-
Investor
- Repayment options
-
$3,075
- Extra repayments
-
yes - free
- Redraw facility
-
yes - free
- Minimum redraw amount
-
-
- Offset account
-
no
- Split account
-
no
- Other restrictions
-
If the valuation is over $360, ubank will cover the first $360. Home loans with a term of greater than 30 years will only be available for owner-occupied P&I 80% LVR purchase applications.
- Other benefits
-
-
- Special Offers
-
-
Read reviews and learn more about ubank home loans
Go to site
-
Fixed Home Loan
- LVR<90%
- Investment
- Principal & Interest
- Interest rate
-
5.84
%
p.a.
Fixed 3 years
- Comparison rate
-
6.73
%
p.a.
- Initial monthly repayment
-
$2,947
Enjoy the investor benefits of a fixed loan term for 3 years with IMB. Get up to $4,000 cashback (T&Cs apply). Up to 12 months repayments in advance without penalties. Free Internet and Mobile Banking redraws (T&Cs apply). Up to a 30 year loan term. Split loan available. No offset account.
- interest rate
-
1 year - 6.29% p.a. (6.97% p.a.*)
3 years - 5.84% p.a. (6.73% p.a.*)
5 years - 5.99% p.a. (6.63% p.a.*)
- Fixed loan revert rate
-
6.91% p.a.
- Upfront fees
-
$799
- Ongoing fees
-
$6.00 monthly
- Discharge Fee
-
$350.00
- Package
-
-
- Maximum loan to value ratio
-
90.00%
- minimum borrowing amount
-
$10,000
- maximum borrowing amount
-
$5,000,000
- type of mortgage
-
Fixed
- Repayment types
-
Principal & Interest
- Availability
-
Investor
- Repayment options
-
$2,947
- Extra repayments
-
yes - free up to 1 year in advance
- Redraw facility
-
yes - free
- Minimum redraw amount
-
$500.00
- Offset account
-
no
- Split account
-
yes
- Other restrictions
-
Monthly fee only applies to fixed period of loan.
- Other benefits
-
-
- Special Offers
-
$4,000 cashback for loans $750,000 and above with a maximum LVR of 80%, settled within 90 days of application for refinancers or 180 for purchase loans. $3,000 for loans between $500k and $749k, $2,000 for loans between $250k and $499k.
Read reviews and learn more about IMB Bank home loans
Go to site -
Flex Home Loan
- Fixed
- Investor
- Principal & Interest
- LVR <60%
- Interest rate
-
5.99
%
p.a.
Fixed 5 years
- Comparison rate
-
6.37
%
p.a.
- Initial monthly repayment
-
$2,995
- interest rate
-
1 year - 6.15% p.a. (6.47% p.a.*)
2 years - 5.99% p.a. (6.43% p.a.*)
3 years - 5.99% p.a. (6.41% p.a.*)
5 years - 5.99% p.a. (6.37% p.a.*)
- Fixed loan revert rate
-
6.24% p.a.
- Upfront fees
-
$250
- Ongoing fees
-
$250.00 yearly
- Discharge Fee
-
$300.00
- Package
-
-
- Maximum loan to value ratio
-
60.00%
- minimum borrowing amount
-
-
- maximum borrowing amount
-
-
- type of mortgage
-
Fixed
- Repayment types
-
Principal & Interest
- Availability
-
Investor
- Repayment options
-
$2,995
- Extra repayments
-
yes - free
- Redraw facility
-
yes - free
- Minimum redraw amount
-
-
- Offset account
-
yes
- Split account
-
yes
- Other restrictions
-
If the valuation is over $360, ubank will cover the first $360. Home loans with a term of greater than 30 years will only be available for owner-occupied P&I 80% LVR purchase applications.
- Other benefits
-
-
- Special Offers
-
-
Read reviews and learn more about ubank home loans
Go to site -
Neat Home Loan
- Investor
- Principal & Interest
- LVR <60%
- Interest rate
-
6.24
%
p.a.
Variable
- Comparison rate
-
6.26
%
p.a.
- Initial monthly repayment
-
$3,075
- interest rate
-
6.24% p.a. (6.26% p.a.*)
- Fixed loan revert rate
-
n/a
- Upfront fees
-
$250
- Ongoing fees
-
$0.00
- Discharge Fee
-
$300.00
- Package
-
-
- Maximum loan to value ratio
-
60.00%
- minimum borrowing amount
-
$80,000
- maximum borrowing amount
-
$5,000,000
- type of mortgage
-
Variable
- Repayment types
-
Principal & Interest
- Availability
-
Investor
- Repayment options
-
$3,075
- Extra repayments
-
yes - free
- Redraw facility
-
yes - free
- Minimum redraw amount
-
-
- Offset account
-
no
- Split account
-
no
- Other restrictions
-
If the valuation is over $360, ubank will cover the first $360. Home loans with a term of greater than 30 years will only be available for owner-occupied P&I 80% LVR purchase applications.
- Other benefits
-
-
- Special Offers
-
-
Read reviews and learn more about ubank home loans
Go to site -
Flex Home Loan
- Investor
- Principal & Interest
- LVR <60%
- Interest rate
-
6.24
%
p.a.
Variable
- Comparison rate
-
6.48
%
p.a.
- Initial monthly repayment
-
$3,075
- interest rate
-
6.24% p.a. (6.48% p.a.*)
- Fixed loan revert rate
-
n/a
- Upfront fees
-
$250
- Ongoing fees
-
$250.00 yearly
- Discharge Fee
-
$300.00
- Package
-
-
- Maximum loan to value ratio
-
60.00%
- minimum borrowing amount
-
-
- maximum borrowing amount
-
-
- type of mortgage
-
Variable
- Repayment types
-
Principal & Interest
- Availability
-
Investor
- Repayment options
-
$3,075
- Extra repayments
-
yes - free
- Redraw facility
-
yes - free
- Minimum redraw amount
-
-
- Offset account
-
yes
- Split account
-
yes
- Other restrictions
-
If the valuation is over $360, ubank will cover the first $360. Home loans with a term of greater than 30 years will only be available for owner-occupied P&I 80% LVR purchase applications.
- Other benefits
-
-
- Special Offers
-
-
Read reviews and learn more about ubank home loans
Go to site -
Unloan Variable
- Investment
- LVR <80%
- Interest rate
-
6.29
%
p.a.
Variable
- Comparison rate
-
6.20
%
p.a.
- Initial monthly repayment
-
$3,092
Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for investors. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.
- interest rate
-
6.29% p.a. (6.20% p.a.*)
- Fixed loan revert rate
-
n/a
- Upfront fees
-
$0
- Ongoing fees
-
$0.00
- Discharge Fee
-
$0.00
- Package
-
-
- Maximum loan to value ratio
-
80.00%
- minimum borrowing amount
-
$10,000
- maximum borrowing amount
-
$10,000,000
- type of mortgage
-
Variable
- Repayment types
-
Principal & Interest
- Availability
-
Investor
- Repayment options
-
$3,092
- Extra repayments
-
yes - free
- Redraw facility
-
yes - free
- Minimum redraw amount
-
-
- Offset account
-
no
- Split account
-
no
- Other restrictions
-
-
- Other benefits
-
Rate discounted by 0.01% p.a. every year up to a maximum discount of 0.30% p.a..
- Special Offers
-
-
Read reviews and learn more about Unloan home loans
Go to site -
Variable Investor Home Loan 80
- Investor
- Principal and Interest
- LVR<80%
- Interest rate
-
6.34
%
p.a.
Variable
- Comparison rate
-
6.36
%
p.a.
- Initial monthly repayment
-
$3,108
Affordable home loan rate for buyers or refinancers.. No monthly or ongoing fees. Option to add an offset for 0.10%. Access to savings with unlimited redraws available. Minimum 30% deposit required.
- interest rate
-
6.34% p.a. (6.36% p.a.*)
- Fixed loan revert rate
-
n/a
- Upfront fees
-
$530
- Ongoing fees
-
$0.00
- Discharge Fee
-
$0.00
- Package
-
-
- Maximum loan to value ratio
-
80.00%
- minimum borrowing amount
-
$50,000
- maximum borrowing amount
-
$2,000,000
- type of mortgage
-
Variable
- Repayment types
-
Principal & Interest
- Availability
-
Investor
- Repayment options
-
$3,108
- Extra repayments
-
yes - free
- Redraw facility
-
yes - free
- Minimum redraw amount
-
$0.00
- Offset account
-
yes
- Split account
-
yes
- Other restrictions
-
Offset sub-account available for additional +0.10%. $300 discharge fee and $250 discharge documentation fee applicable if loan doesnt go to full term.
- Other benefits
-
-
- Special Offers
-
-
Read reviews and learn more about loans.com.au home loans
Go to site
Your selected home loans
* WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed is for a secured loan with monthly principal and interest repayments for $150,000 over 25 years.
** Initial monthly repayment figures are estimates only, based on the advertised rate. You can change the loan amount and term in the input boxes at the top of this table. Rates, fees and charges and therefore the total cost of the loan may vary depending on your loan amount, loan term, and credit history. Actual repayments will depend on your individual circumstances and interest rate changes.
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