Malvern VIC Property Investment

THE MARKET

Median house price in Malvern sits at $2,700,000 with 36 days on market and a 1.9% vacancy rate. This is a tight rental market right now.

- **Median house:** $2,700,000 | **Units:** $832,323 - **Gross yield:** 1.6% | **Net yield:** 0.1% - **Vacancy:** 1.9% (worsening) | **Rental demand:** High - **5yr price growth:** -14.6%/yr | **3yr forecast:** -16.5%/yr - **Days on market:** 36 (stable)

STR potential: $175/night at 66% occupancy = ~$42,158/yr gross. Long-term at $42,900/yr may be simpler with comparable returns.

BULL CASE

If Malvern maintains 3%+ annual growth and vacancy stays below 1.3%, median prices could reach $3,105,000 within 3 years with yields compressing slightly as capital values rise.

BEAR CASE

A market correction or interest rate shock could see prices in Malvern pull back 10-15% from $2,700,000, with vacancy rising to 3.4% and rental yields softening as tenants gain leverage.

WHAT TO DO

Malvern offers balanced fundamentals but does not present an urgent buying signal. The market is in a trough phase with low 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 4.0%.

- Entry range: $2,430,000 – $2,970,000 - Minimum yield to target: 4.5% - Watch signal: vacancy staying 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.