South Gundagai NSW Property Investment

Snowy Valleys · 2722 · Score: 51/100 · Hold

Median House Price
$488K
Rental Yield
4.5%
Vacancy Rate
3.0%
Median Weekly Rent
$420/wk
Median Unit Price
$455K
Population
781
Days on Market
35 days
Annual Growth
-9.4%

South Gundagai Short-Term Rental (Airbnb) Market

Avg Nightly Rate
$521.12/night
Occupancy Rate
40%
Est. Annual Revenue
$76K
AI Investment Analysis

South Gundagai NSW Investment Brief

HOLD4.5% gross yield on a $487,916 median.

THE MARKET

South Gundagai has compounded at 5.9%/yr over 5 years — a house that cost $366,324 in 2021 is worth $487,916 today. Properties are sitting on market for 35 days (roughly balanced conditions). At the same growth rate, today's median reaches $649,868 by 2031.

  • Median house: $487,916 | Units: $455,481
  • Gross yield: 4.5% | Net yield: 3.0%
  • 5yr price CAGR: 5.9%/yr | 3yr forecast: 13.5%/yr
  • Population: 781 | Owner-occupier rate: 72% | 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: $420/wk | Days on market: 35 (stable)
  • Tenant market — vacancy elevated, negotiate hard on rent.

SHORT-TERM RENTAL

  • Median nightly rate: $521/night | Occupancy: 40%
  • Estimated annual STR gross: ~$76,084/yr
  • vs long-term rent: $21,840/yr (+248% STR premium — factor in higher management costs)

INFRASTRUCTURE & CATALYSTS

  • HumeLink Transmission Line (Under Procurement)
  • Transport: Standard suburban transport access

BULL CASE

If South Gundagai maintains 3%+ annual growth and vacancy stays below 2.1%, median prices could reach $561,103 within 3 years with yields compressing slightly as capital values rise.

BEAR CASE

A market correction or interest rate shock could see prices in South Gundagai pull back 10-15% from $487,916, 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

  • Batlow (NSW): $388,369 median, 4.9% yield, 11.7% 1yr growth
  • Gladstone (NSW): $564,626 median, 4.4% yield, -18.7% 1yr growth
  • Tabulam (NSW): $461,134 median, 4.5% yield, -17.2% 1yr growth

THE PLAY

South Gundagai offers balanced fundamentals but does not present an urgent buying signal. The market is in a above_trend 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 5.0%.

  • Entry range: $439,124$536,708
  • Minimum gross yield to target: 4.8%
  • 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

Early gentrification signals4.0/10
Low socioeconomic base — classic gentrification precondition
Moderate capital growth (5.9% CAGR)
Active development pipeline (225 approvals) — supply attracting new residents

Growth Forecast

high confidence
1yr Forecast
4.7%
p.a.
2yr Forecast
4.3%
p.a.
5yr Forecast
3.7%
p.a.

Basis: 5yr CAGR 5.9% + 10yr CAGR 4.7%

Headwinds
  • High supply pipeline (225 new approvals) — may cap price growth

Suburb Metric Thresholds

2 green8 yellow6 red
Rental Vacancy Rate
3 high impact
Days on Market
35 high impact
Weekly Rent (house)
420 medium impact
5yr Price CAGR
5.92 high impact
10yr Price CAGR
4.68 high impact
1yr Price Growth
-9.4 medium impact
Population Growth
1.28 high impact
Median Household Income
1327 medium impact
Unemployment Rate
3.4 medium impact
Public Transport Score
0 medium impact
School Zone Quality
4.3 medium impact
Distance to CBD
312.36 medium impact
SEIFA Advantage/Disadvantage
3 medium impact
Owner Occupier Rate
71.9 medium impact
Gross Rental Yield (%)
4.48 high impact
Net Rental Yield (%)
2.98 high impact

Macro Environment

Macro Indicators

Cash Rate

4.35%

0.25%

Cash rate as at 2026-05-06 · Credit data 2026-03

Suburb Supply & Demand

Suburb Supply Pipeline — New Dwelling Approvals

41

2020

60

2021

50

2022

48

2023

26

2025

New dwelling approvals — higher numbers mean more future supply

Socio-Economic Profile

Source: ABS Census 2021

SEIFA Index · Postcode 2722

Most disadvantagedLeast disadvantaged

Decile 3 of 10 — High disadvantage

Population

3,418

Education (IEO)

3/10

Econ. Resources (IER)

4/10

10-Year Investment Projection

Modelled on South Gundagai NSW data — rent, capital growth, tax, and depreciation over 10 years.

Pre-filled: $420/wk median rent for South Gundagai. Capital growth and rent increase are editable assumptions.

Schools

In your catchment

Gundagai SPS
PrimaryGovernment
4.3/10
Gundagai HS
SecondaryGovernment
4.5/10

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.

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Data sourced from ABS, state government property sales, and Airbnb market analytics. For informational purposes only — not financial advice.