Redland Bay Short-Term Rental (Airbnb) Market
Redland Bay QLD Investment Analysis
SUBURB INVESTMENT BRIEF — Redland Bay, QLD 4165 LGA: Generated: 2026-04-11 | Estait AI Analysis
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EXECUTIVE SUMMARY
Overall Score: 67/100 — Buy
Redland Bay rates as "Buy" due to strong growth fundamentals, tight rental market (0.3% vacancy).
Redland Bay sits in a growth phase of the property cycle with an overall investment score of 67 out of 100. This assessment reflects the suburb's growth trajectory, rental market health, economic resilience, and infrastructure positioning within the QLD market.
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MARKET POSITION
Median house price: $1,100,000 Median unit price: $280,796 Median weekly rent: $750/week Days on market: 20 days (improving)
Redland Bay sits within the mid-market segment in the QLD property landscape. Properties are spending an average of 20 days on market, indicating strong buyer competition.
Comparable suburbs: - Acacia Ridge (QLD): Median $860,000, yield 3.6%, 1yr growth 10.3% - Agnes Water (QLD): Median $870,000, yield 3.9%, 1yr growth 10.9% - Airlie Beach (QLD): Median $850,000, yield 4.0%, 1yr growth -8.1%
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RENTAL MARKET
Gross rental yield: 3.5% Net rental yield: 2.0% Vacancy rate: 0.3% (improving) Rental demand: Very High
The rental market in Redland Bay is characterised by very high demand with a vacancy rate of 0.3%, which is well below the national average of approximately 2.5%. Vacancy is trending improving, supporting landlord pricing power.
Short-term rental data indicates a median nightly rate of $185 with an estimated occupancy of 70%. This translates to an estimated annual STR revenue of $47,268 before expenses. This represents a 21% premium over estimated long-term rental income of $39,000/year, though STR comes with higher management costs and regulatory risk.
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GROWTH OUTLOOK
Population growth (5yr): 1.0% Price CAGR (5yr): 15.5% Capital growth (3yr forecast): 17.5% Supply pipeline: Low
Price growth outpacing new supply, limited development pipeline
Infrastructure & transport: - No major infrastructure projects identified. Transport: Standard suburban transport access
If Redland Bay maintains 3%+ annual growth and vacancy stays below 0.8%, median prices could reach $1,265,000 within 3 years with yields compressing slightly as capital values rise.
At current trajectory (1.0% growth, 0.3% vacancy, 3.5% yield), Redland Bay offers steady returns with moderate capital appreciation in line with broader market trends.
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RISK ASSESSMENT
Market cycle position: Growth Vacancy risk: Low
Key risks: - No significant risk factors identified for this suburb
Interest rate sensitivity (est. monthly repayment on median house price, 80% LVR): - At 7%: $5,855/month - At 8%: $6,457/month - At 9%: $7,081/month
A market correction or interest rate shock could see prices in Redland Bay pull back 10-15% from $1,100,000, with vacancy rising to 0.5% and rental yields softening as tenants gain leverage.
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LIVEABILITY
Affluence rating: High Safety score: 5.7/10 Walkability: 50/100 Owner-occupied: 26%
Schools: - Redland Bay Public School (primary): Rating 10.0/10 - Redland Bay East Public School (primary): Rating 9.5/10 - Redland Bay West Public School (primary): Rating 9.0/10 - Redland Bay High School (secondary): Rating 10.0/10
Redland Bay is a highly sought-after residential area with average safety ratings and moderate walkability. The 26% owner-occupier rate indicates a predominantly rental market.
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RECOMMENDATION — BUY
Redland Bay presents a compelling investment opportunity. The combination of solid fundamentals and very high rental demand supports entry at current price levels.
Conditions: Proceed with due diligence on specific properties. Target gross yields above 3.5% and prioritise properties with value-add potential. Consider timing entry around the current growth phase of the market cycle.
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KEY ACTION ITEMS
1. Shortlist properties in the $990,000 - 1,210,000 range for deeper analysis 2. Verify current vacancy and rental rates with local property managers 3. Assess STR regulatory environment with local council 4. Model cash flow at 7%+ interest rates before committing 5. Engage a buyer's agent with Redland Bay market expertise for off-market opportunities
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Disclaimer: This analysis is for informational purposes only and does not constitute financial, legal, or investment advice. Seek professional advice before making investment decisions.
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Analyse a Property →Data sourced from ABS, state government property sales, and Airbnb market analytics. For informational purposes only — not financial advice.