Investor activity in Canberra has dipped in recent years, but most sellers are still walking away with a profit, according to the latest PropTrack Terri Scheer Investor Report, released today.

The report found that 93 per cent of investment properties sold in the capital over the past year were profitable, highlighting continued strength in the city’s housing market even as the share of new lending to investors sits at just 27 per cent.

Nationally, investor activity has remained strong, with investors now making up their highest share of lending since 2017. The report attributes this growth to falling mortgage rates and ongoing tight rental market conditions.

In Canberra, the city’s median rental yield currently sits at 4.2 per cent, while the top suburbs for investors reflect a balance between affordability, capital growth and demand from renters.

The report also found that around two-thirds of investors own a single property, while one-fifth own two. Property investment is more common among higher-income households, with 28 per cent of the highest income fifth of households owning at least one investment property compared with just 6.5 per cent of the lowest income fifth.

Top 10 investor areas – houses

1. Isabella Plains – $840,000 – 5.8% annual growth – 4.2% yield
2. Calwell – $845,000 – 5.0% – 4.3%
3. Casey – $934,000 – 13.8% – 4.2%
4. Banks – $765,000 – 4.1% – 4.5%
5. Bonner – $956,000 – 7.4% – 4.1%
6. Franklin – $1,064,000 – 8.0% – 3.8%
7. Gordon – $895,000 – 4.7% – 4.4%
8. Moncrieff – $1,045,000 – 4.2% – 4.2%
9. O’Connor – $1,518,000 – 14.1% – 2.6%
10. Page – $876,000 – 6.2% – 4.1%

Top 10 investor areas – units

1. City – $547,000 – 11.7% annual growth – 5.9% yield
2. Harrison – $585,000 – 3.8% – 5.7%
3. Braddon – $615,000 – 7.9% – 5.6%
4. Campbell – $718,000 – 7.5% – 5.1%
5. Gungahlin – $430,000 – -1.8% – 6.3%
6. Watson – $550,000 – 4.5% – 5.3%
7. Belconnen – $509,000 – -2.1% – 6.1%
8. Holt – $691,000 – 1.3% – 5.2%
9. Ngunnawal – $640,000 – 0.0% – 4.7%
10. Barton – $772,000 – 9.6% – 4.9%