Lynwood Short-Term Rental (Airbnb) Market
Lynwood WA Investment Analysis
BUY
— $760,000 median with 10.1%/yr growth over 5 years.
THE MARKET
Lynwood has compounded at 10.1%/yr over 5 years — a house that cost $469,761 in 2021 is worth $760,000 today. Properties are sitting on market for 8 days (sellers have the leverage). At the same growth rate, today's median reaches $1,229,561 by 2031.
- **Median house:** $760,000 | **Units:** $241,731 - **Gross yield:** 4.8% | **Net yield:** 3.3% - **5yr price CAGR:** 10.1%/yr | **3yr forecast:** 11.3%/yr - **Population:** 33,095 | **Owner-occupier rate:** 34% | **Affluence:** Above Average
- **Supply pipeline:** Low — Price growth outpacing new supply, limited development pipeline
RENTAL SNAPSHOT
- **Vacancy:** 2.2% (improving) | **Rental demand:** High - **Median weekly rent:** $695/wk | **Days on market:** 8 (improving) - Balanced market — vacancy manageable but monitor trend.
SHORT-TERM RENTAL
- **Median nightly rate:** $165/night | **Occupancy:** 66% - **Estimated annual STR gross:** ~$39,748/yr - **vs long-term rent:** $36,140/yr (comparable — LTR offers simpler management)
INFRASTRUCTURE & CATALYSTS
- No major confirmed infrastructure projects on record. - **Transport:** Standard suburban transport access
BULL CASE
If Lynwood maintains 3%+ annual growth and vacancy stays below 1.5%, median prices could reach $874,000 within 3 years with yields compressing slightly as capital values rise.
BEAR CASE
A market correction or interest rate shock could see prices in Lynwood pull back 10-15% from $760,000, with vacancy rising to 4.0% and rental yields softening as tenants gain leverage.
KEY RISKS
- No significant risk factors identified for this suburb
COMPARABLE MARKETS
- **Albany** (WA): $855,000 median, 3.6% yield, 17.1% 1yr growth - **Alexander Heights** (WA): $825,000 median, 4.7% yield, 13.2% 1yr growth - **Alkimos** (WA): $755,000 median, 4.8% yield, 12.7% 1yr growth
THE PLAY
Lynwood presents a compelling investment opportunity. The combination of solid fundamentals and high rental demand supports entry at current price levels. Proceed with due diligence on specific properties. Target gross yields above 4.8% and prioritise properties with value-add potential. Consider timing entry around the current growth phase of the market cycle.
- Entry range: $684,000 – $836,000 - Minimum gross yield to target: 5.1% - 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.
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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.