Tenambit NSW Property Investment

CAUTION — 4.0% gross yield on a $826,279 median.

Tenambit has compounded at 5.8%/yr over 5 years — a house that cost $623,302 in 2021 is worth $826,279 today. Properties are sitting on market for 35 days (roughly balanced conditions). At the same growth rate, today's median reaches $1,095,355 by 2031.

• Median house: $826,279 | Units: $618,733
• Gross yield: 4.0% | Net yield: 2.5%
• 5yr price CAGR: 5.8%/yr | 3yr forecast: 13.5%/yr
• Population: 3,088 | Owner-occupier rate: 65% | Affluence: Average

• Supply pipeline: Low — Price growth outpacing new supply, limited development pipeline

• Vacancy: 3.0% (stable) | Rental demand: Moderate
• Median weekly rent: $630/wk | Days on market: 35 (stable)
• Tenant market — vacancy elevated, negotiate hard on rent.

• Median nightly rate: $538/night | Occupancy: 40%
• Estimated annual STR gross: ~$78,520/yr
• vs long-term rent: $32,760/yr (+140% STR premium — factor in higher management costs)

• Hunter Valley Coal Chain Capacity Expansion (Under Procurement)
• Transport: Victoria Street station 1.5km away

If Tenambit maintains 3%+ annual growth and vacancy stays below 2.1%, median prices could reach $950,221 within 3 years with yields compressing slightly as capital values rise.

A market correction or interest rate shock could see prices in Tenambit pull back 10-15% from $826,279, with vacancy rising to 5.0% and rental yields softening as tenants gain leverage.

• Distance from CBD may limit long-term capital growth potential

• Lake Illawarra (NSW): $982,570 median, 3.4% yield, 10.6% 1yr growth
• Kinchela (NSW): $776,000 median, 3.2% yield, -0.5% 1yr growth
• Hat Head (NSW): $678,789 median, 3.6% yield, 37.5% 1yr growth

Tenambit 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: $743,651 – $908,907
• 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.