Garbutt QLD Property Investment

CAUTION — 4.1% gross yield on a $667,657 median.

Garbutt has compounded at 0.9%/yr over 5 years — a house that cost $638,407 in 2021 is worth $667,657 today. Properties are sitting on market for 45 days (roughly balanced conditions). At the same growth rate, today's median reaches $698,247 by 2031.

• Median house: $667,657 | Units: $414,719
• Gross yield: 4.1% | Net yield: 2.6%
• 5yr price CAGR: 0.9%/yr | 3yr forecast: 13.5%/yr
• Population: 2,309 | Owner-occupier rate: 60% | Affluence: Above Average

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

• Vacancy: 3.0% (stable) | Rental demand: Moderate
• Median weekly rent: $530/wk | Days on market: 45 (stable)
• Tenant market — vacancy elevated, negotiate hard on rent.

• Median nightly rate: $392/night | Occupancy: 44%
• Estimated annual STR gross: ~$62,974/yr
• vs long-term rent: $27,560/yr (+128% STR premium — factor in higher management costs)

• No major confirmed infrastructure projects on record.
• Transport: Townsville station 4.4km away

If Garbutt maintains 3%+ annual growth and vacancy stays below 2.1%, median prices could reach $767,806 within 3 years with yields compressing slightly as capital values rise.

A market correction or interest rate shock could see prices in Garbutt pull back 10-15% from $667,657, with vacancy rising to 5.0% and rental yields softening as tenants gain leverage.

• Distance from CBD may limit long-term capital growth potential
• - Flood risk: MODERATE (qld_elevation_proxy) — part of the suburb sits near waterways or in a mapped flood-prone area

• Westwood (QLD): $747,318 median, 2.3% yield, 23.0% 1yr growth
• Yarraman (QLD): $515,179 median, 3.7% yield, 21.1% 1yr growth
• Crawford (QLD): $501,403 median, 2.7% yield, 15.8% 1yr growth

Garbutt 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: $600,891 – $734,423
• 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.