There's no single "best" state, as it depends on your goals, but Western Australia (WA) and Queensland (QLD) consistently offer strong potential due to affordability, growth, and rental yields, with mining towns in WA providing high cash flow and QLD benefiting from population influx. Other states like South Australia (SA) and Tasmania (TAS) show promise in specific regional areas for growth and affordability.
Queensland and Western Australia dominate the list, reflecting affordability, regional growth and infrastructure investment. PropTrack's full list includes 25 standout suburbs (15 for houses and 10 for units) with potential for both rental income and capital gains.
Top States for High Rental ROI in 2025
New South Wales (NSW): Thriving Cities and Expanding Regional Appeal. New South Wales remains one of Australia's most in-demand property markets, anchored by Sydney's global status and supported by high levels of infrastructure spending, employment diversity, and strong rental demand.
Western Australia continues to dominate Australia's rental yield rankings in 2025. The state's mining and resource towns consistently deliver double-digit returns, making WA a standout for property investors seeking strong cash flow and long-term rental security.
The 2% property rule is a real estate investing guideline where you check if a rental property's monthly rent is at least 2% of its purchase price, indicating strong potential for positive cash flow and profitability; you calculate this by dividing the monthly rent by the property's total price and multiplying by 100, aiming for 2% or more to deem it a good deal, though it's a simplified metric, notes Rentana and Abacus Finance.
What is the safest type of investment for beginners with $300k?
Assuming interest rates continue to remain stable, the stronger local economies of Adelaide, Brisbane and Perth will underpin more than 6 percent growth in house values in 2026. And Sydney and Hobart might also push into the 6 percent bracket.
Hobart, Tasmania, is widely recognized as the cheapest major city, but smaller regional towns in Queensland and South Australia can offer even lower living costs.
Plenty of options are available, such as stocks, bonds, mutual funds, CDs, real estate, and REITs, each offering unique opportunities and associated risks. You might consider allocating portions of your $100,000 into different investment vehicles. The journey to find the right investment can be rewarding.
Property Acquisition Support: We Find the Right Deal, Not Just Any Deal
Historically, the stock market has been one of the best ways to achieve 10% annual returns.
If you're looking for low risk options to invest 200K for a short period, you could consider government bonds, cash and bond ETFs and high-interest savings accounts or term deposits.
If you want to invest in the stock market, there are many ways to do so, whether in individual securities or mutual funds and ETFs. If you're looking for something safer, long-term retirement accounts are a great place to put your $30,000.
If you use your former home to produce income (for example, you rent it out or make it available for rent), you can choose to treat it as your main residence for up to 6 years after you stop living in it. This is sometimes called the '6-year rule'. You can choose when to stop the period covered by your choice.
In 2026, Australian suburbs set for booms are driven by infrastructure, gentrification, and demographic shifts, with hotspots including regional areas like Geelong, Ballarat, and Launceston, alongside specific urban pockets in Melbourne (Box Hill, Bentleigh East), Sydney (Parramatta, Western Sydney), and Perth (Bunbury), fueled by new transport links (Suburban Rail Loop), growing local economies, and "second wind" market turnarounds after previous cool-downs, according to property experts and reports.
To buy a $650,000 house in Australia, you generally need a gross annual household income between $100,000 to $140,000, with figures varying significantly by location and lender criteria, requiring a strong deposit (around $130,000 for 20%) and managing loan repayments to not exceed 30% of your income to avoid mortgage stress, often necessitating a joint income or substantial savings, as highlighted by financial experts and data from sources like Fundd, Finder, and Real Estate.
Real estate investing in 2025 is a simple, powerful way to grow your money and secure your future. From steady cash flow to tax breaks and rising property values, the benefits are clear.
Invest in an IRA
This can be a great way to put some of your $50,000 to work. Once contributions are made, money in an IRA can be invested in virtually any stock, bond, or mutual fund you want. There are two main types of IRAs: traditional and Roth IRAs.
Yes, you can retire at 60 with $500k in Australia, but it depends heavily on owning your home, living a modest lifestyle, planning for the Age Pension, and managing withdrawals carefully; it's feasible for a comfortable, but not extravagant, retirement, especially if you can supplement income with part-time work or downsize. A comfortable single retirement at 60 might need around $515k for about $52k/year, while couples need more, so careful budgeting and a structured plan are crucial.
Turning $1,000 into $10,000 in one month requires high-risk, high-reward strategies, often involving aggressive business ventures like high-volume flipping (e.g., window washing, retail arbitrage) or online businesses (dropshipping, e-commerce) where you reinvest profits quickly, or trading volatile assets like crypto, but success isn't guaranteed and carries significant risk, so consider diversifying into safer options like starting a service business (lawn mowing) or freelancing high-demand skills.
Many locations and individual properties haven't – and quite possibly never will – double in value every ten years. That doesn't mean that your home won't enjoy significant gains in value over time.
AB 1482:
You will need to earn around £110,000 a year to afford a £500,000 mortgage as most mortgage lenders will cap your maximum borrowing at 4.5 times your annual salary.