Kooyong VIC Property Investment

THE MARKET

Median house price in Kooyong sits at $1,159,889 with 26 days on market and a 2.7% vacancy rate. This is a balanced market right now.

- **Median house:** $1,159,889 | **Units:** $556,269 - **Gross yield:** 5.6% | **Net yield:** 4.1% - **Vacancy:** 2.7% (worsening) | **Rental demand:** Moderate - **5yr price growth:** -2.6%/yr | **3yr forecast:** -2.9%/yr - **Days on market:** 26 (stable)

STR potential: $175/night at 66% occupancy = ~$42,158/yr gross. Long-term at $65,000/yr may be simpler with comparable returns.

BULL CASE

If Kooyong maintains 3%+ annual growth and vacancy stays below 1.9%, median prices could reach $1,333,872 within 3 years with yields compressing slightly as capital values rise.

Notable infrastructure: **Toorak Road Level Crossing Removal** (completed). Plus 3 more projects in the pipeline.

BEAR CASE

A market correction or interest rate shock could see prices in Kooyong pull back 10-15% from $1,159,889, with vacancy rising to 4.9% and rental yields softening as tenants gain leverage.

WHAT TO DO

Kooyong offers balanced fundamentals but does not present an urgent buying signal. The market is in a trough 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 6.1%.

- Entry range: $1,043,900 – $1,275,878 - Minimum yield to target: 5.9% - 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.