Australia's most populous state boasts some of the most in-demand areas to live in on the planet. From the Northern Beaches to Sydney to the Blue Mountains, there are many property markets in NSW that will probably always have strong demand. If you're looking for an investment property with strong cashflow, these are the towns and suburbs in NSW with among the highest rental yields.
NSW Rental Yields in 2025
According to the most recent data available at the time of writing, these are the median rental yields for units and houses across NSW, divided between metro and country zones.
|
Median price |
Median weekly rent |
Median rental yield |
|
|---|---|---|---|
|
Houses (Sydney) |
$1,390,000 |
$750 |
2.7% |
|
Units (Sydney) |
$790,000 |
$700 |
4.6% |
|
Houses (Rest of NSW) |
$750,000 |
$565 |
3.9% |
|
Units (Rest of NSW) |
$635,000 |
$490 |
4.0% |
Source: CoreLogic. Data reported to the period ending January 2025. Median values account for sales transactions over three months.
Rental yields in New South Wales are generally lower than the norm for Australia.
As of January 2025, the average house in Sydney returned 2.7% annually in rent, lower than any other state capital - the next lowest was Melbourne at 3.5%. Both property prices and rent are higher in Sydney than anywhere else in the nation, since generally speaking, more expensive property tends to have lower rental yields.
Regional property in NSW also generally has lower rental yields than in other states. Both houses and units located in NSW outside of Sydney have an average yield around 4%, the lowest of all eight states/territories.
Read more: Highest rental yields in Australia
Best Rental Yields in NSW
Most recent estimates suggest Lightning Ridge has the highest rental yields for houses in NSW, at an average of 19.4%. For units, Deniliquin , near the border with Victoria, took the crown with a 6.8% average yield.
Houses
| Rank | Suburb (Postcode) | LGA | Median Price | Median Rent | Rental Yield |
|---|---|---|---|---|---|
| 1st | Lightning Ridge (2834) | Walgett | $80,500 | $300 | 19.4% |
| 2nd | Dareton (2717) | Wentworth | $180,000 | $345 | 10.0% |
| 3rd | Broken Hill (2880) | Broken Hill | $195,000 | $345 | 9.2% |
| 4th | South Lismore (2480) | Lismore | $325,000 | $495 | 7.9% |
| 5th | Coonamble (2829) | Coonamble | $190,000 | $283 | 7.7% |
| 6th | Cobar (2835) | Cobar | $235,500 | $335 | 7.4% |
| 7th | Moree (2400) | Moree Plains | $290,000 | $400 | 7.2% |
| 8th | Peak Hill (2869) | Parkes | $222,000 | $300 | 7.0% |
| 9th | Boggabri (2382) | Narrabri | $280,000 | $375 | 7.0% |
| 10th | Gilgandra (2827) | Gilgandra | $270,000 | $350 | 6.7% |
| 11th | Wellington (2820) | Dubbo | $300,000 | $380 | 6.6% |
| 12th | West Wyalong (2671) | Bland | $383,000 | $480 | 6.5% |
| 13th | Coonabarabran (2357) | Warrumbungle | $292,000 | $360 | 6.4% |
| 14th | Adaminaby (2629) | Snowy Monaro | $480,000 | $590 | 6.4% |
| 15th | Henty (2658) | Greater Hume | $322,000 | $390 | 6.3% |
| 16th | Coleambally (2707) | Murrumbidgee | $285,000 | $343 | 6.2% |
| 17th | Darlington Point (2706) | Murrumbidgee | $377,500 | $450 | 6.2% |
| 18th | South Kempsey (2440) | Kempsey | $380,000 | $450 | 6.2% |
| 19th | Bingara (2404) | Gwydir | $300,000 | $350 | 6.1% |
| 20th | Werris Creek (2341) | Liverpool Plains | $302,500 | $350 | 6.0% |
| 21st | Menangle Park (2563) | Campbelltown (NSW) | $615,500 | $710 | 6.0% |
| 22nd | Deniliquin (2710) | Edward River | $332,500 | $380 | 5.9% |
| 23rd | Quirindi (2343) | Liverpool Plains | $385,000 | $430 | 5.8% |
| 24th | Condobolin (2877) | Lachlan | $270,000 | $300 | 5.8% |
| 25th | Finley (2713) | Berrigan | $325,000 | $360 | 5.8% |
Source: CoreLogic. Data reported to the period ending January 2025. Median values account for sales transactions over three months.
Lightning Ridge catches the eye immediately. At 19.4% average yield, it's not only the highest in NSW but the strongest in all of Australia, beating out the mining hotspots of Western Australia. Unsurprisingly, Lightning Ridge is also a mining town (mining opals and other gemstones) which creates an imbalance between people moving to the area temporarily and those who actually want to buy.
Dareton and Broken Hill are the other standout suburbs for houses, with rental yields more than a full percentage point higher than the rest on this list.
Dareton is a tiny town in far west NSW with a population of less than 500 per the 2021 census. In the CoreLogic data there were only 10 sales throughout the year, so it's possible this strong yield is a quirk of such a small sample size. On the other hand, Dareton is known for producing wine grapes and citrus fruit, so it's also possible rental yields are high because of agricultural workers temporarily relocating to the town.
About 1,100kms west of Sydney, Broken Hill is Australia's oldest continuous mining town, sitting above one of the world's largest deposits of silver-lead-zinc ore.
Units
| Rank | Suburb (Postcode) | LGA | Median Price | Median Rent | Rental Yield |
|---|---|---|---|---|---|
| 1st | Deniliquin (2710) | Edward River | $230,000 | $300 | 6.8% |
| 2nd | Mayfield West (2304) | Newcastle | $462,000 | $580 | 6.5% |
| 3rd | Scone (2337) | Upper Hunter | $338,000 | $420 | 6.5% |
| 4th | Muswellbrook (2333) | Muswellbrook | $310,000 | $380 | 6.4% |
| 5th | Mascot (2020) | Bayside (NSW) | $775,000 | $950 | 6.4% |
| 6th | Haymarket (2000) | Sydney | $942,500 | $1,150 | 6.3% |
| 7th | Moama (2731) | Murray River | $362,500 | $438 | 6.3% |
| 8th | Sapphire Beach (2450) | Coffs Harbour | $440,000 | $530 | 6.3% |
| 9th | Ashmont (2650) | Wagga Wagga | $282,000 | $330 | 6.1% |
| 10th | Lakemba (2195) | Canterbury-Bankstown | $450,000 | $520 | 6.0% |
| 11th | Chippendale (2008) | Sydney | $760,000 | $870 | 6.0% |
| 12th | Guildford (2161) | Cumberland | $465,000 | $530 | 5.9% |
| 13th | Crestwood (2620) | Queanbeyan-Palerang | $368,500 | $420 | 5.9% |
| 14th | Grafton (2460) | Clarence Valley | $370,000 | $420 | 5.9% |
| 15th | Dubbo (2830) | Dubbo | $335,000 | $380 | 5.9% |
| 16th | Yagoona (2199) | Canterbury-Bankstown | $529,500 | $600 | 5.9% |
| 17th | Wiley Park (2195) | Canterbury-Bankstown | $441,350 | $500 | 5.9% |
| 18th | Leeton (2705) | Leeton | $325,000 | $365 | 5.8% |
| 19th | Ultimo (2007) | Sydney | $668,000 | $750 | 5.8% |
| 20th | Singleton (2330) | Singleton | $420,000 | $470 | 5.8% |
| 21st | Rosehill (2142) | Parramatta | $510,000 | $570 | 5.8% |
| 22nd | Carramar (2163) | Fairfield | $360,000 | $400 | 5.8% |
| 23rd | Warwick Farm (2170) | Liverpool | $450,000 | $500 | 5.8% |
| 24th | Belrose (2085) | Northern Beaches | $630,000 | $695 | 5.7% |
| 25th | Granville (2142) | Cumberland | $544,500 | $600 | 5.7% |
Source: CoreLogic. Data reported to the period ending January 2025. Median values account for sales transactions over three months.
The area with the highest rental yield for units was the inland town of Deniliquin , near the border with Victoria and on the Edward River. Called an "aquatic playground" by Visit NSW, Denilquin attracts waterskiing and wakeboarding holidaymakers and is also an agricultural centre, which might contribute to the strong yields. Similar to Dareton though, there were only 13 units sold over the twelve month period analysed by CoreLogic, so strong yields might be down to the sample being skewed towards more expensive rentals.
Mayfield West in Newcastle and Scone in the Hunter Region, the 'Horse Capital of Australia', rounded out the podium.
Highest Rental Yields in Sydney
Glenning Valley on the Central Coast had the highest average rental yield for houses in Sydney at 4.6% while Mascot, Bayside took top spot for units with a 6.4% average yield.
Suburbs in rural NSW make up the majority of the above list - capital cities tend to have more modest rental returns than property in regional areas.
This is where you could expect to find the highest rental yields in the Sydney statistical division:
Houses
| Rank | Suburb (Postcode) | LGA | Median Price | Median Rent | Rental Yield |
|---|---|---|---|---|---|
| 1st | Glenning Valley (2261) | Central Coast (NSW) | $935,000 | $820 | 4.6% |
| 2nd | Mount Victoria (2786) | Blue Mountains | $660,000 | $570 | 4.5% |
| 3rd | Austral (2179) | Liverpool | $880,000 | $750 | 4.4% |
| 4th | Blue Haven (2262) | Central Coast (NSW) | $740,000 | $600 | 4.2% |
| 5th | Koolewong (2256) | Central Coast (NSW) | $838,000 | $675 | 4.2% |
| 6th | Chittaway Bay (2261) | Central Coast (NSW) | $865,000 | $690 | 4.1% |
| 7th | Woongarrah (2259) | Central Coast (NSW) | $909,000 | $710 | 4.1% |
| 8th | Warnervale (2259) | Central Coast (NSW) | $1,025,000 | $800 | 4.1% |
| 9th | Watanobbi (2259) | Central Coast (NSW) | $747,000 | $580 | 4.0% |
| 10th | Wadalba (2259) | Central Coast (NSW) | $876,000 | $680 | 4.0% |
| 11th | Werrington (2747) | Penrith | $907,500 | $700 | 4.0% |
| 12th | Mcgraths Hill (2756) | Hawkesbury | $1,005,000 | $775 | 4.0% |
| 13th | Chittaway Point (2261) | Central Coast (NSW) | $945,000 | $725 | 4.0% |
| 14th | Jordan Springs (2747) | Penrith | $980,000 | $750 | 4.0% |
| 15th | Hamlyn Terrace (2259) | Central Coast (NSW) | $900,000 | $685 | 4.0% |
| 16th | Mannering Park (2259) | Central Coast (NSW) | $725,000 | $550 | 3.9% |
| 17th | Kanwal (2259) | Central Coast (NSW) | $726,000 | $550 | 3.9% |
| 18th | San Remo (2262) | Central Coast (NSW) | $700,000 | $530 | 3.9% |
| 19th | Claymore (2559) | Campbelltown (NSW) | $952,000 | $720 | 3.9% |
| 20th | Ropes Crossing (2760) | Blacktown | $935,000 | $700 | 3.9% |
| 21st | Gwandalan (2259) | Central Coast (NSW) | $817,775 | $610 | 3.9% |
| 22nd | Tumbi Umbi (2261) | Central Coast (NSW) | $940,000 | $700 | 3.9% |
| 23rd | Halekulani (2262) | Central Coast (NSW) | $721,250 | $535 | 3.9% |
| 24th | Bardia (2565) | Campbelltown (NSW) | $1,000,000 | $740 | 3.8% |
| 25th | Airds (2560) | Campbelltown (NSW) | $730,000 | $540 | 3.8% |
Source: CoreLogic. Data reported to the period ending January 2025. Median values account for sales transactions over three months.
Units
| Rank | Suburb (Postcode) | LGA | Median Price | Median Rent | Rental Yield |
|---|---|---|---|---|---|
| 1st | Mascot (2020) | Bayside (NSW) | $775,000 | $950 | 6.4% |
| 2nd | Haymarket (2000) | Sydney | $942,500 | $1,150 | 6.3% |
| 3rd | Lakemba (2195) | Canterbury-Bankstown | $450,000 | $520 | 6.0% |
| 4th | Chippendale (2008) | Sydney | $760,000 | $870 | 6.0% |
| 5th | Guildford (2161) | Cumberland | $465,000 | $530 | 5.9% |
| 6th | Yagoona (2199) | Canterbury-Bankstown | $529,500 | $600 | 5.9% |
| 7th | Wiley Park (2195) | Canterbury-Bankstown | $441,350 | $500 | 5.9% |
| 8th | Ultimo (2007) | Sydney | $668,000 | $750 | 5.8% |
| 9th | Rosehill (2142) | Parramatta | $510,000 | $570 | 5.8% |
| 10th | Carramar (2163) | Fairfield | $360,000 | $400 | 5.8% |
| 11th | Warwick Farm (2170) | Liverpool | $450,000 | $500 | 5.8% |
| 12th | Belrose (2085) | Northern Beaches | $630,000 | $695 | 5.7% |
| 13th | Granville (2142) | Cumberland | $544,500 | $600 | 5.7% |
| 14th | Villawood (2163) | Canterbury-Bankstown | $590,000 | $650 | 5.7% |
| 15th | Bankstown (2200) | Canterbury-Bankstown | $545,000 | $600 | 5.7% |
| 16th | Pendle Hill (2145) | Cumberland | $500,000 | $550 | 5.7% |
| 17th | Berkeley Vale (2261) | Central Coast (NSW) | $412,500 | $450 | 5.7% |
| 18th | Parramatta (2150) | Parramatta | $625,000 | $670 | 5.6% |
| 19th | Wentworthville (2145) | Cumberland | $590,000 | $630 | 5.6% |
| 20th | Sydney Olympic Park (2127) | Parramatta | $675,000 | $720 | 5.5% |
| 21st | Chipping Norton (2170) | Liverpool | $667,000 | $710 | 5.5% |
| 22nd | Auburn (2144) | Cumberland | $565,000 | $600 | 5.5% |
| 23rd | Westmead (2145) | Parramatta | $565,000 | $600 | 5.5% |
| 24th | Merrylands West (2160) | Cumberland | $485,000 | $515 | 5.5% |
| 25th | North Rocks (2151) | Parramatta | $643,500 | $680 | 5.5% |
Source: CoreLogic. Data reported to the period ending January 2025. Median values account for sales transactions over three months.
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| Lender | Home Loan | Interest Rate | Comparison Rate* | Monthly Repayment | Repayment type | Rate Type | Offset | Redraw | Ongoing Fees | Upfront Fees | Max LVR | Lump Sum Repayment | Additional Repayments | Split Loan Option | Tags | Row Tags | Features | Link | Compare | Promoted Product | Disclosure |
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6.04% p.a. | 5.95% p.a. | $3,011 | Principal & Interest | Variable | $0 | $0 | 80% |
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6.09% p.a. | 6.13% p.a. | $3,027 | Principal & Interest | Variable | $0 | $530 | 90% |
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6.09% p.a. | 6.11% p.a. | $3,027 | Principal & Interest | Variable | $0 | $350 | 60% |
| Disclosure |
First published on March 2024
Picture by Henrique Felix on Unsplash
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