Gloucester NSW Property Investment
Walcha · 2422 · Score: 51/100 · Hold
Gloucester Short-Term Rental (Airbnb) Market
Gloucester NSW Investment Brief
CAUTION — 4.3% gross yield on a $590,133 median.
THE MARKET
Median house price in Gloucester sits at $590,133 with 45 days on market and a 3.0% vacancy rate. This is a tenant-favourable market right now.
- Median house: $590,133 | Units: $439,860
- Gross yield: 4.3% | Net yield: 2.8%
- 5yr price CAGR: -10.3%/yr | 3yr forecast: 13.5%/yr
- Population: 3,133 | Owner-occupier rate: 74% | Affluence: Below Average
- Supply pipeline: Low — Price growth outpacing new supply, limited development pipeline
RENTAL SNAPSHOT
- Vacancy: 3.0% (stable) | Rental demand: Moderate
- Median weekly rent: $485/wk | Days on market: 45 (stable)
- Tenant market — vacancy elevated, negotiate hard on rent.
SHORT-TERM RENTAL
Insufficient STR data for this suburb. Run a specific address analysis for property-level STR projections.
INFRASTRUCTURE & CATALYSTS
- No major confirmed infrastructure projects on record.
- Transport: Standard suburban transport access
BULL CASE
If Gloucester maintains 3%+ annual growth and vacancy stays below 2.1%, median prices could reach $678,653 within 3 years with yields compressing slightly as capital values rise.
BEAR CASE
A market correction or interest rate shock could see prices in Gloucester pull back 10-15% from $590,133, 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
- Millbank (NSW): $754,533 median, 3.3% yield, 0.0% 1yr growth
THE PLAY
Gloucester carries elevated risk that outweighs potential returns at current levels. A recovery 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: $531,120 – $649,146
- Minimum gross yield to target: 4.6%
- Watch signal: vacancy dropping below 2% and days on market falling below 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 10.3% + 10yr CAGR 5.0%
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
3
2020
2
2021
16
2022
7
2023
3
2025
New dwelling approvals — higher numbers mean more future supply
Socio-Economic Profile
Source: ABS Census 2021SEIFA Index · Postcode 2422
Decile 2 of 10 — High disadvantage
Population
5,608
Education (IEO)
3/10
Econ. Resources (IER)
3/10
10-Year Investment Projection
Modelled on Gloucester NSW data — rent, capital growth, tax, and depreciation over 10 years.
Pre-filled: $485/wk median rent for Gloucester. 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 Gloucester
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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.