Apartments are one of the most attractive options for price sensitive investors looking for investment property with potential for high yields and capital growth. Affordability, location, attractiveness to tenants – these are just some of the reasons for the growing popularity of apartments.
One of the key advantages of purchasing an apartment over a house is the price differential.
- Across Australia’s capital cities there is a 13.3 per cent (or $56,000) difference between median house price and median unit price.
- The difference is the highest in Canberra, where the median price for a house is $129,000 higher than that for a unit. In Sydney, the difference is $103,000. Sydney and Canberra are the Australian cities with the highest unit sales relative to sales for all other dwelling types (around 43 per cent for both cities).
- In Melbourne, Brisbane, Perth, and Adelaide, the differential is at around 18 per cent, much lower than Sydney or Canberra, but still a significant difference amounting to around $70,000.