Cairns offers a materially higher gross yield (4.5% vs 2.7%), making it the stronger income candidate at current prices. Both markets carry similar cashflow positions under current yield and interest rate assumptions. Vacancy conditions favour Cairns (1.1% vs 1.8%), indicating tighter rental demand relative to supply.
Research context only. Not financial advice. Both markets carry distinct risks specific to their location, employment base, and economic profile. Read the individual suburb research pages before drawing conclusions. All policy references reflect proposed changes subject to final legislation.
| Metric | Cairns QLD · #29 | Newcastle NSW · #34 |
|---|---|---|
| Gross Yield | 4.5% | 2.7% |
| Vacancy Rate | 1.1% | 1.8% |
| Median Price | $613k | $1550k |
| Weekly Rent | $525/wk | $800/wk |
| Net pre-costs pa | $-4,550 | $-39,000 |
| Cashflow | Slightly-Negative | Negative |
| Rent Growth 12m | +6.8% | +4.2% |
| Price Growth 12m | +9.4% | +4.8% |
| NG Dependence | Medium | High |
| Discovery Status | Known | Known |
| Population | 160k | 320k |
| Cycle Stage | Early-Mid | Mid |
| Policy Impact | ◆ NEUTRAL | ▼ DOWNGRADED |
| Signal Score | 52 / Tier 2 | 41 / Tier 3 |
Cairns is Australia's gateway to the Great Barrier Reef — a major international tourism hub with Cairns Airport as a primary employer alongside healthcare (Cairns Hospital) and government services. Residential rental demand is underpinned by permanent resident workers, not purely tourism workers. At $612,500 and $525/wk, cashflow is slightly negative at standard LVR. Vacancy at 1.1% is tight. Note: broader Cairns LGA median house prices are materially higher than the Cairns City suburb figure used here.
Newcastle's median house price at $1.55M now sits in the range of established capital city suburban markets. The investment case is lifestyle demand, coastal amenity, and employment diversification (John Hunter Hospital, University of Newcastle, defence, knowledge economy) — not yield or cashflow. At 2.5% gross yield, this market requires significant ongoing capital to hold at standard LVR rates. The 2026 NG policy change materially increases holding costs for new purchasers.
realestate.com.au Cairns City suburb median, Jun 2025–May 2026. Verify against REIQ for wider LGA. Data quality: imported.
Data vintage: 2026
2026 median house data. Source: realestate.com.au. Data quality: imported. Verify before transacting.
Data vintage: 2026
The interactive tool lets you add up to 4 suburbs for a full side-by-side breakdown with score components.
Research only. Not financial advice. Data vintage Q1 2025 (indicative estimates from public sources). Verify all metrics independently with local property managers and licensed advisers before making any investment decision. All negative gearing and budget policy references reflect proposed changes subject to final legislation. Consult a registered tax adviser for personal tax position.