Display home makes new owner $182k a year

A savvy investor will make $182,000 a year – triple the suburb’s typical rent – after snapping up a display home for $2.6m.

The newly built four-bedroom house in SkyRidge Estate on the Gold Coast was sold with a 7 per cent leaseback agreement, meaning the builder will continue to lease the property after settlement at about $3,500 a week.

PropTrack data shows the median rental price for a four-bedroom house in Worongary, where the estate is located, is $1,100 a week, up 22 per cent over the past 12 months.

The double-storey home on a 512 sqm lot was built by Brighton Homes in the emerging community, where 322 lots have been completed and settled to date.

Agent Gerard McClelland said the deal was an attractive option for investors chasing a strong short-term rental yield above the typical 4 to 5 per cent.

He said the leaseback model allowed the builder to free up capital while continuing to showcase its homes to prospective buyers in the estate.

“These display homes are premium properties with all the bells and whistles,” Mr McClelland said.

“In the case of the Brighton Black which sold for $2.6m, this is the most deluxe home in our range. The wow factor is just screaming at you.”

The home at 37 Parkway Cct was described as “an exquisite ode to coastal tranquility”, with a floorplan comprising four generously sized bedrooms, four bathrooms and three living spaces, opening to an entertaining terrace and pool.

“Each space is crafted to evoke a sense of refined luxury, seamlessly blending contemporary flair with timeless sophistication,” the listing stated.

“Every detail embodies the essence of coastal elegance.”

Features included a designer kitchen with sleek white and powder blue cabinetry, an island bench and butler’s pantry, herringbone floors, pendant lighting, and a striking white façade with tall arched windows.

“It can take a while to sell the display homes depending on the price,” McClelland said.

“But the investor market is waking up to the fact 7 per cent is a pretty good return, and in this case I sold two of them in the same week, both to cash buyers.”

MORE NEWS

Shock as Aus big bank hikes interest rates

22 Qld suburbs set for Olympic boom

Inside $1.5b housing estate sale

The second home, Brighton’s Grayson 30, sold a few doors down for $1.83 million. That buyer will earn an annual return of $128,100, and may move into the property once the lease ends.

Often used by developers to showcase their builds, display homes are typically finished to a high spec and well maintained during the leaseback period.

The sale comes as the developer behind SkyRidge listed its stake via an expressions of interest campaign.

Western Australia-based Perron Group, alongside Queensland businessman Ross Atkins, has appointed Ray White Special Projects (RWSP) and Melbourne-based B&S Land to handle the campaign.

The $1.5b project spans 297ha with planning approval for 3,500 dwellings, and is expected to be home to more than 10,000 people once completed in 2036.

SkyRidge recently notched up its first $1 million land sale of a 700 sqm block, while Metricon holds the estate’s top sale records, with two of its display homes snapped up for $2.8m each.

House prices in Worongary have climbed 4.5 per cent over the past 12 months, to a median of $1.285m.

The post Display home makes new owner $182k a year appeared first on realestate.com.au.