Lord Howe Island NSW Property Investment
Unincorporated NSW · 2898 · Score: 59/100 · Hold
Lord Howe Island Short-Term Rental (Airbnb) Market
Lord Howe Island NSW Investment Brief
HOLD — 1.6% gross yield on a $1,003,000 (pending peer validation) median.
THE MARKET
Median house price in Lord Howe Island sits at $1,003,000 (pending peer validation) with 45 days on market and a 3.0% vacancy rate. This is a tenant-favourable market right now.
- Median house: $1,003,000 (pending peer validation) | Units: $0
- Gross yield: 1.6% | Net yield: 0.1%
- 5yr price CAGR: -2.5%/yr | 3yr forecast: -2.3%/yr
- Population: 445 | Owner-occupier rate: 57% | Affluence: High
- Supply pipeline: Moderate — Strong population growth likely attracting new development approvals
RENTAL SNAPSHOT
- Vacancy: 3.0% (worsening) | Rental demand: Moderate
- Median weekly rent: $310/wk | Days on market: 45 (stable)
- Tenant market — vacancy elevated, negotiate hard on rent.
SHORT-TERM RENTAL
- Median nightly rate: $262/night | Occupancy: 44%
- Estimated annual STR gross: ~$42,039/yr
- vs long-term rent: $16,120/yr (+161% STR premium — factor in higher management costs)
INFRASTRUCTURE & CATALYSTS
- No major confirmed infrastructure projects on record.
- Transport: Standard suburban transport access
BULL CASE
If Lord Howe Island maintains 3%+ annual growth and vacancy stays below 2.1%, median prices could reach $1,153,450 within 3 years with yields compressing slightly as capital values rise.
BEAR CASE
A market correction or interest rate shock could see prices in Lord Howe Island pull back 10-15% from $1,003,000, with vacancy rising to 5.0% and rental yields softening as tenants gain leverage.
KEY RISKS
- Negative price growth suggests a softening market
- - Distance from CBD may limit long-term capital growth potential
COMPARABLE MARKETS
- Blackett (NSW): $920,447 median, 2.9% yield, 9.7% 1yr growth
- Dharruk (NSW): $909,451 median, 3.1% yield, 7.5% 1yr growth
- Bidwill (NSW): $931,236 median, 2.9% yield, 7.6% 1yr growth
THE PLAY
Lord Howe Island offers balanced fundamentals but does not present an urgent buying signal. The market is in a recovery phase with moderate vacancy risk. Monitor vacancy trends and price movements over the next 6-12 months. Only enter if a property can be acquired at or below median pricing with yields exceeding 4.0%.
- Entry range: $902,700 – $1,103,300
- Minimum gross yield to target: 4.5%
- 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
low confidenceBasis: National long-run average (no local data)
- +Strong population growth (3.1%/yr) driving demand
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
0
2020
0
2021
0
2022
0
2023
0
2025
New dwelling approvals — higher numbers mean more future supply
Socio-Economic Profile
Source: ABS Census 2021SEIFA Index · Postcode 2898
Decile 8 of 10 — Low disadvantage
Population
445
Education (IEO)
4/10
Econ. Resources (IER)
4/10
10-Year Investment Projection
Modelled on Lord Howe Island NSW data — rent, capital growth, tax, and depreciation over 10 years.
Pre-filled: $310/wk median rent for Lord Howe Island. 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.
Analyse a Property in Lord Howe Island
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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.