Drake NSW Property Investment
Richmond Valley · 2469 · Score: 48/100 · Caution
Drake Short-Term Rental (Airbnb) Market
Drake NSW Investment Brief
CAUTION — $528,706 (pending peer validation) median with 7.6%/yr growth over 5 years.
THE MARKET
Drake has compounded at 7.6%/yr over 5 years. Median sits in the $528,706 (pending peer validation) band today. Properties are sitting on market for 29 days (sellers have the leverage).
- Median house: $528,706 (pending peer validation) | Units: $351,026
- Gross yield: 3.9% | Net yield: 2.4%
- 5yr price CAGR: 7.6%/yr | 3yr forecast: 13.5%/yr
- Population: 244 | Owner-occupier rate: 77% | Affluence: Low
- Supply pipeline: Low — Price growth outpacing new supply, limited development pipeline
RENTAL SNAPSHOT
- Vacancy: 3.0% (stable) | Rental demand: Moderate
- Median weekly rent: $400/wk | Days on market: 29 (stable)
- Tenant market — vacancy elevated, negotiate hard on rent.
SHORT-TERM RENTAL
- Median nightly rate: $501/night | Occupancy: 40%
- Estimated annual STR gross: ~$73,164/yr
- vs long-term rent: $20,800/yr (+252% STR premium — factor in higher management costs)
INFRASTRUCTURE & CATALYSTS
- No major confirmed infrastructure projects on record.
- Transport: Tenterfield station 38.5km away
BULL CASE
If Drake maintains 3%+ annual growth and vacancy stays below 2.1%, median prices could reach $608,012 within 3 years with yields compressing slightly as capital values rise.
BEAR CASE
A market correction or interest rate shock could see prices in Drake pull back 10-15% from $528,706, with vacancy rising to 5.0% and rental yields softening as tenants gain leverage.
KEY RISKS
- Distance from CBD may limit long-term capital growth potential
COMPARABLE MARKETS
- Hat Head (NSW): $678,789 median, 3.6% yield, 37.5% 1yr growth
- Aldavilla (NSW): $591,435 median, 4.2% yield, 3.4% 1yr growth
- Dondingalong (NSW): $607,500 median, 4.1% yield, -8.5% 1yr growth
THE PLAY
Drake carries elevated risk that outweighs potential returns at current levels. A boom market combined with moderate vacancy risk warrants caution. Avoid new acquisitions unless significant discount to median pricing is achievable. Re-evaluate if vacancy falls below 2.5% or annual price growth exceeds 3%.
- Entry range: $475,835 – $581,577
- Minimum gross yield to target: 4.5%
- Watch signal: vacancy dropping below 2% and days on market holding under 35
This analysis is for informational purposes only and does not constitute financial, legal, or investment advice. Seek professional advice before making investment decisions.
Gentrification Index
Growth Forecast
high confidenceBasis: 5yr CAGR 24.3% + 10yr CAGR 5.5%
- +Above-average population growth (1.7%/yr)
- +Active market (29 days avg)
- −High supply pipeline (292 new approvals) — may cap price growth
Suburb Metric Thresholds
Macro Environment
Macro Indicators
Cash Rate
4.35%
▲ 0.25%Cash rate as at 2026-05-06 · Credit data 2026-04
Suburb Supply & Demand
Suburb Supply Pipeline — New Dwelling Approvals
56
2020
72
2021
57
2022
46
2023
61
2025
New dwelling approvals — higher numbers mean more future supply
Socio-Economic Profile
Source: ABS Census 2021SEIFA Index · Postcode 2469
Decile 1 of 10 — High disadvantage
Population
4,359
Education (IEO)
2/10
Econ. Resources (IER)
2/10
10-Year Investment Projection
Modelled on Drake NSW data — rent, capital growth, tax, and depreciation over 10 years.
Pre-filled: $400/wk median rent for Drake. Capital growth and rent increase are editable assumptions.
Schools
In your catchment
These are the government-school zones containing this suburb centroid. Specific addresses within the suburb may fall in different catchments — confirm with the school directly.
Nearby Suburbs
Analyse a Property in Drake
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Analyse a Property →Data sourced from ABS, state government property sales, and Airbnb market analytics. For informational purposes only — not financial advice.