Mount Isa rental property returns

If you want to invest in property, the return on your investment is a crucial indicator. Mt Isa rental property returns are currently strong and they are likely to stay that way due to low vacancy rates and a strong local economy. That’s great news for Mount Isa landlords.

Mount Isa rent rates

Like any property market, current Mt Isa rent rates vary depending on the type of property being leased. Prices range from around $200 per week for basic, one bedroom accommodation through to $400 for basic four bedroom accommodation. Some higher quality properties fetch more than these rent amounts.

You can pick up decent 3 bedroom properties in Mount Isa for around $300,000 that you can lease to tenants for up to $450 per week. That’s an investment return of nearly 8%, which is higher than you can get in the bank, and safer than taking a roller coaster ride investing in shares!

This rate also compares well with the average returns across regional Queensland (4.9%) and Australia (4.4%) over the past year (figures compiled by CoreLogic).

As with any market, choosing a good property in a good location will help you to charge higher rent to tenants. It’s also important to keep your property well maintained.

Capital growth in Mount Isa

Rent returns are just one component of the overall return on a property investment. The other is capital growth over time. Like most areas across Australia, the Mount Isa property market experienced price growth in 2020 and 2021 before values tapered off slightly in 2022.

However, average Mount Isa property values are still higher than they were 3 years ago. You should always look at property as a long-term investment to maximise your capital growth prospects.

What home features are popular with Mount Isa tenants?

It almost goes without saying that air con is just about a necessity for any Mount Isa property. Pools are also popular, as well as sheds and covered outdoor entertaining areas. Decent-sized yards will be sought after by tenants who own dogs.

The majority of rental properties in Mount Isa are free-standing houses. Homes with modern, new features and layouts tend to be the most popular.

How many people rent in Mount Isa?

According to the most recent Census data, 45% of people in Mount Isa rent their accommodation. This figure is significantly higher than the rest of both Queensland (33%) and Australia (30%).

Not surprisingly, the high incomes that workers can earn in Mount Isa make it a popular place for non-locals to come and make good money working in mining jobs for a few years. They are usually younger workers, and they usually rent their accommodation.

The Australian economy is heavily dependent on the mining industry, so Mount Isa will likely have a strong rental market for many years to come.

What Mount Isa investment properties are currently available?

You can check out homes that are for sale here if you’re looking to buy a Mt Isa investment property. A diverse range is available to suit different budgets and tastes.

You can view current Mount Isa rental properties that are available for lease here. Good quality properties tend to be snapped up by tenants very quickly.

About Us

Jays Real Estate has been Mount Isa’s premier residential and commercial real estate agency since 1981.

 

If you’re thinking about selling, buying, leasing or renting any Mt Isa property, or you need your property professionally managed, then contact our team today for an obligation-free chat!

We’d be happy to provide you with advice and to answer any property questions you have.