Tomerong NSW Property Investment

Unincorp. Other Territories · 2540 · Score: 50/100 · Hold

Median House Price
$1.21M
Rental Yield
1.8%
Vacancy Rate
3.0%
Median Weekly Rent
$425/wk
Median Unit Price
$1.07M
Population
1,194
Days on Market
80 days
Annual Growth
-1.8%

Tomerong Short-Term Rental (Airbnb) Market

Avg Nightly Rate
$545/night
Occupancy Rate
40%
Est. Annual Revenue
$80K

Estimated revenue assumes year-round availability. Non-hosted short-stays are night-capped in some councils (e.g. 60 nights across most of Byron Shire, 180 in Ballina, Muswellbrook and parts of Greater Sydney) and levied in Victoria — the legal cap can cut achievable income well below this figure. Run STR Check for the rules on a specific address.

AI Investment Analysis

Tomerong NSW Investment Brief

## 1. Investment Verdict Hold – the decisive figure is the 1.8 % gross rental yield, which is well below the 3‑5 % range that typically attracts income‑focused investors.

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2. Market Overview

MetricFigure
Median house price$1,210,216
Median unit price$1,067,339
1‑yr price growth‑1.8 % (price decline)
5‑yr CAGR10.3 % per annum
3‑yr growth forecast13.5 % per annum
Days on market*Data not supplied*

What it signals - The ‑1.8 % dip over the past 12 months indicates a short‑term buyer’s market – sellers may need to price competitively. - The 10.3 % 5‑year CAGR and 13.5 % 3‑year forecast show strong medium‑term upside, suggesting that investors who can tolerate the current low yield could benefit from price appreciation. - Without days‑on‑market data we cannot quantify the speed of transactions, but the recent price dip hints at slower buyer activity.

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3. Rental Market

MetricFigure
Median weekly rent$425 / wk
Gross rental yield1.8 %
Vacancy rate*Data not supplied*
Demand rating*Data not supplied*

Implication for investors The 1.8 % yield signals weak cash‑flow returns. Unless rent can be pushed higher or purchase price reduced, the suburb offers limited income upside. The absence of vacancy data prevents a full assessment of rental security, but the low yield itself suggests that landlords may be facing modest demand.

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4. Short‑Term Rental (STR) Opportunity

*No STR‑specific data (nightly rate, occupancy, annual revenue) were provided.* Given the lack of information, we cannot quantify whether a long‑term rental (LTR) or STR model would be superior in Tomerong. Investors should treat STR as an untested option until market‑specific short‑term data become available.

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5. Infrastructure & Growth Drivers

*No explicit data on projects, transport upgrades, or major employers were supplied.* The strong 3‑year growth forecast (13.5 % p.a.) implies that some underlying drivers—such as regional population growth or lifestyle appeal—are present, but we cannot name them without source data.

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6. Bull Case

Assume the 13.5 % annual growth forecast materialises for the next three years:

  • House price projection: $1,210,216 × (1 + 0.135)³ ≈ $1.79 million
  • Unit price projection: $1,067,339 × (1 + 0.135)³ ≈ $1.58 million

If rents keep pace with inflation (≈2‑3 % p.a.), the gross yield could rise modestly, but the primary upside would be capital growth of roughly $580k–$620k per property over three years.

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7. Risks

RiskQuantified elementComment
Low rental yield1.8 %Limits cash‑flow; makes the investment sensitive to interest‑rate hikes.
Vacancy risk*No vacancy figure*The low yield may mask higher vacancy; investors should verify vacancy before buying.
Single‑employer dependency*No employment data*If the local job market relies on a few large employers, any downsizing could pressure rents.
Supply pipeline*No data on new dwellings*A surge in new housing could further suppress yields and price growth.
Rate sensitivity1.8 % yield vs typical loan costsSmall increases in borrowing costs could turn the property cash‑flow negative.

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8. The Play

  • Entry price range: $1,067,339 (units) – $1,210,216 (houses).
  • Target minimum gross yield: ≥ 2 % – anything below the current 1.8 % does not meet a basic income threshold.
  • Watch signals:
  • Recommended strategy: Maintain a Hold stance. If the market corrects further (price dip of ~5‑7 % would lift the yield to ~2 %), consider a selective purchase aimed at capital growth. Until such a price‑adjustment occurs, the suburb offers limited cash‑flow upside and should be approached cautiously.

Gentrification Index

Pre-gentrification3.5/10
—Middle-tier SEIFA — moderate gentrification pressure
▲Strong capital growth (10.3% CAGR) — above national average

Growth Forecast

high confidence
1yr Forecast
8.5%
p.a.
2yr Forecast
7.8%
p.a.
5yr Forecast
6.8%
p.a.

Basis: 5yr CAGR 10.3% + 10yr CAGR 7.2%

Headwinds
  • −Slow market (80 days avg) — buyer hesitancy

Suburb Metric Thresholds

3 green6 yellow7 red
Rental Vacancy Rate
3 high impact
Days on Market
80 high impact
Weekly Rent (house)
425 medium impact
5yr Price CAGR
10.27 high impact
10yr Price CAGR
7.17 high impact
1yr Price Growth
-1.8 medium impact
Population Growth
1.36 high impact
Median Household Income
1275 medium impact
Unemployment Rate
4.9 medium impact
Public Transport Score
3.5 medium impact
School Zone Quality
5.3 medium impact
Distance to CBD
145.03 medium impact
SEIFA Advantage/Disadvantage
6 medium impact
Owner Occupier Rate
73.4 medium impact
Gross Rental Yield (%)
1.83 high impact
Net Rental Yield (%)
0.33 high impact

Macro Environment

Macro Indicators

Cash Rate

4.35%

▲ 0.25%

Cash rate as at 2026-05-06 · Credit data 2026-07

Socio-Economic Profile

Source: ABS Census 2021

SEIFA Index · Postcode 2540

Most disadvantagedLeast disadvantaged

Decile 5 of 10 — Average

Population

48,267

Education (IEO)

4/10

Econ. Resources (IER)

6/10

10-Year Investment Projection

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

Pre-filled: $425/wk median rent for Tomerong. Capital growth and rent increase are editable assumptions.

Schools

In your catchment

Tomerong PS
PrimaryGovernment
5.3/10
Vincentia HS
SecondaryGovernment
4.7/10

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.