Stepney SA Property Investment

THE MARKET

Median house price in Stepney sits at $725,592 with 30 days on market and a 2.1% vacancy rate. This is a balanced market right now.

- **Median house:** $725,592 | **Units:** $328,770 - **Gross yield:** 5.0% | **Net yield:** 3.5% - **Vacancy:** 2.1% (worsening) | **Rental demand:** High - **5yr price growth:** -1.0%/yr | **3yr forecast:** -1.1%/yr - **Days on market:** 30 (stable)

STR potential: $155/night at 64% occupancy = ~$36,208/yr gross. Long-term at $36,140/yr may be simpler with comparable returns.

BULL CASE

If Stepney maintains 3%+ annual growth and vacancy stays below 1.5%, median prices could reach $834,431 within 3 years with yields compressing slightly as capital values rise.

BEAR CASE

A market correction or interest rate shock could see prices in Stepney pull back 10-15% from $725,592, with vacancy rising to 3.8% and rental yields softening as tenants gain leverage.

WHAT TO DO

Stepney offers balanced fundamentals but does not present an urgent buying signal. The market is in a correction 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 5.5%.

- Entry range: $653,033 – $798,151 - Minimum yield to target: 5.3% - Watch signal: vacancy dropping below 2% and days on market holding under 35

This analysis is for informational purposes only and does not constitute financial, legal, or investment advice. Seek professional advice before making investment decisions.