Spotswood has emerged as Australia’s top suburb for rental growth in three-bedroom houses.
Data for the past 12 months, compiled by Australian Property Monitors for next month’s Australian Property Investor (API) magazine, examined three-bedroom house rents within 20 kilometres of capital cities.
API deputy editor Lauren Day said Spotswood, about seven kilometres from the Melbourne’s CBD, came up No.1 in the nation with a weekly asking median rental price of $465 – a $65 increase on last year. This reflects a year-on-year growth of 16.3 per cent with a median estimated asking rental yield of 3.7 per cent.
Sweeney director Darren Dean said Spotswood was a “thermal hotspot on the real estate market” but even he was “staggered” it ranked No.1 nationwide.
Mr Dean said the suburb’s appeal included proximity to the West Gate Bridge and Williamstown Beach and its mix of schools and creches.
“Everything is at your doorstep – five minutes to the Williamstown swimming beach, one minute to the West Gate Bridge.
“Road, which was once a D-grade shopping strip, has now become very much in vogue. Industry is fast becoming yesterday’s news there.”
Greg Hocking director Wayne Elly said Spotswood’s popularity was partly due to its proximity to the city.
“It’s probably close to being No.1 of the best proven on values, too, over the last two or three years,” he said.
“It’s just a very small pocket that’s had a lot of redevelopment in recent times in regard to cafes, bars and hotels.
“It was dominated by industry back in the ’50s and ’60s, and a lot of that over probably the next 10 years will be redeveloped.
“Blocks that were selling two years ago for $600,000 are now in excess of $900,000 in the good streets.
“It’s probably been the slow cousin of Yarraville and Newport for a long time.”
Highett ranked No. 2 in Australia, followed by Windsor and Carlton.
