Eglinton NSW Property Investment

---

## 2. Market Overview - Median house price: $814,449 - Median unit price: $555,491 - 1‑year price growth: +4.6 % - 5‑year CAGR: +5.0 % per annum - 3‑year forecast growth: +13.5 % (cumulative) - Days on market: data not available (N/A)

Signal: Positive but measured price appreciation (4.6 % YoY) suggests buyers are still active, yet the absence of days‑on‑market data prevents a clear read on seller pressure. Current growth aligns with a “steady‑state” market rather than a hot‑buyer’s market.

---

## 3. Rental Market - Median weekly rent: $640 / wk - Gross rental yield: 4.1 % - Vacancy rate: N/A - Demand rating: N/A

Implication: A 4.1 % yield indicates a reasonable return for long‑term investors. Without vacancy or demand data we cannot quantify rental pressure, but the yield alone supports a hold stance.

---

## 4. Short‑Term Rental (STR) Opportunity - Nightly STR rate: N/A - Occupancy rate: N/A - Estimated annual STR revenue: N/A

Conclusion: Insufficient data to model STR performance. With a solid long‑term yield (4.1 %), long‑term rental (LTR) remains the safer default.

---

## 5. Infrastructure & Growth Drivers - Known projects / transport / employment base: N/A

Assessment: Lack of disclosed infrastructure or major employer information means we cannot attribute demand to specific catalysts. Investors should monitor any forthcoming council or state‑level announcements.

---

## 6. Bull Case If the 3‑year forecast (+13.5 %) materialises:

• House price scenario: $814,449 × 1.135 ≈ $925,000 → ≈ $110,500 upside.
• Unit price scenario: $555,491 × 1.135 ≈ $630,000 → ≈ $74,500 upside.

Coupled with the existing 4.1 % yield, total return (capital gain + rental income) could exceed 7–8 % p.a. over the next three years.

---

## 7. Risks | Risk | Quantified Concern (where available) | |------|--------------------------------------| | Vacancy risk | Vacancy rate not disclosed – a rise could erode the 4.1 % yield. | | Rate sensitivity | Interest‑rate hikes increase borrowing costs, squeezing net cash flow. | | Supply pipeline | No data on upcoming dwellings; a surge in new stock could pressure rents. | | Employment concentration | No employer data – reliance on a single large employer would be a risk if present. |

---

## 8. The Play - Entry price range: Houses around $814,449; units around $555,491. - Minimum yield target: ≥ 4.1 % (to match the current gross yield). - Watch signals: 1. Publication of days‑on‑market figures. 2. Vacancy rate releases. 3. Interest‑rate movements. 4. Any announced infrastructure or major employment projects. - Recommended strategy: Acquire or retain properties at current median prices, aim for a net yield of at least 4 % after costs, and hold for 3–5 years to capture the projected 13.5 % capital gain. Re‑evaluate if vacancy data emerges or if new supply materially increases.