There’s not much that could tempt investors away from the main cities in Australia, but Bendigo may just be the right flavour that gets you to move.

From one-hatted restaurants to hidden laneways, Bendigo is quickly becoming popular as a tourist hotspot and a great place to live - which is good news for both home buyers and investors.

In recent months however, home buyers in particular have found their financial restraints tightening considerably, and feeling like one wrong investment could potentially flush most of their life savings down the drain.

That’s why it’s even more important to do the heavy research before making any long term financial commitments. Always weigh the costs and benefits against what works for you personally.

Read on as we break out the numbers, dive into our best suburb picks and give you the facts behind the figures.

If there’s one thing this suburb is familiar with, it’s great numbers! North Bendigo’s median house price currently sits at $470k, with rental yields at a rate of 4.30%.

While it may not be in the top rankings of neatest neighbourhoods, its affordable prices and property growth numbers make it a clear contender.

The suburb is around 4.2 square kilometres and has a population of 4,060. Around 50% are owner-occupiers and 35% are renters.

This property market will mostly consist of couples without children, likely to be making mortgage payments of around $1,000. 

Smart Investment Property tells us that investors enjoyed capital gains of around 24% in 2021, with an average of 17.2% per annum over a 3 year period.

• Median house price: $470,000
  
• Latest price change: 
  ▲ Up from 11.46% to 24.23% in 2021
  ≗ Stabilised to 24.86% in 2022

The suburb reported price gains from 3% to 24% over 10 years.

• Median 3 year compound growth rate: 51.61%
  
• Median weekly rent: $380
  
• Median rental yield: $4.30%
  
• Vacancy rate: 1.48%

A goldmine in the old days, and a cash-land today. Eaglehawk offers pretty affordable house prices at around $400k.

Homely reviews stated that the suburb has left quite the impact on its residents.

With charming Victorian homes lining the streets, plenty of lakes and play areas, Eaglehawk has earned itself a reputation as Bendigo’s “best-kept secret”.

Eaglehawk is around 14.5 square kilometres with a population of around 5,692 people, of which 26.33% live on rent.

An upward trend in home prices raked in profits of around 14.95% per annum over a 3-year period. 

The suburb reported a whopping price gain of 35.09% in 2022, high rental yields and low vacancy rates: an investment recipe pretty much set for you to be thinking about going all in. 

• Median house price: $498,447
  
• Latest price change:
  ▲ Up from .91% to 16% in 2021 
  ▲ Up again to 35.09% in 2022.

The suburb reported average price gains from 6% to 32% over the last 10 years.

• Median 3 year compound growth rate: 44.84%
  
• Median weekly rent: $380
  
• Median rental yield: $4.65%
  
• Vacancy rate: 0.55%

With its peaceful and convenient location, high-profit potential and livability score vetted by locals, Heathcote is an investor’s dream.

The suburb reported median sales prices at around $500k, with one of the highest rental yields and lowest vacancy rates. It also ranked No.10 on the Well Home Loans Green Shoots Report for price growth potential. 

Heathcote is around 130 square kilometres and has a population of around 2,798 people. 

11.87% of its population live on rent - great news for property investors, with the suburb’s median rental yield currently sitting at an all-time high of 4.59%. 

• Median house price: $526,280
  
• Latest price change: 
  ▲ Up from 9.28% to 20.16% in 2021
  ▲ Up again to 25.14% in 2022 

The suburb reported average price gains from 7% to 16% over the last 10 years.

• Median 3 year compound growth rate: 37.9%

• Median weekly rent: $345
  
• Median rental yield: $4.59%
  
• Vacancy rate: 0.17%

Locals on Homely are calling it an “absolute gem for families” - and with good reason too. 

Just minutes away from everything modern life can offer, including parks and playgrounds, Kangaroo Flat scores high on the liveability scale, particularly for families with children. 

Statistics show that roughly 25.41% of the population live on rent, with the suburb reporting one of the lowest vacancy rates in the city. 

This could mean a nifty income source for investors, with the high rental rates and yield the suburb is sprouting out.

Of course, homeowners earn back just as much. A quick look around told us that investors earned a profit average of around 16.5% per annum over 3 years. 

• Median house price: $538,096
  
• Latest price change: 
  ▲ Up from 9.30% to 16.45% in 2021
  ▲ Up again to 31.69% in 2022

The suburb reported average price gains from 3% to 26% over the last 10 years.

• Median 3 year compound growth rate: 48.44%
  
• Median weekly rent: $400
  
• Median rental yield: $4.42%
  
• Vacancy rate: 0.48%

Real estate experts called Golden Square one of the most sought after and best-performing suburbs in Bendigo, with a 43.28% increase in search volumes.

With the lockdown period over, more people are looking at moving out of the capital city and maintaining a better work-life balance. 

All eyes are now turned to Golden Square because of its proximity and lower commute times to Melbourne.

Compared to the rental rates in Melbourne, Golden Square is more affordable for tenants, even though it still has attractive rental rates and yields for potential investors.

This is apart from massive capital growth over the years, with the highest price gain being 21.77% in 2021 for a $500k for a property.

• Median house price: $541,713
  
• Latest price change:
  ▲ Up from 6.10% to 21.77% in 2021
  ▲ Up again to 26.98% in 2022

The suburb reported average price gains from 5% to 23% over the last 10 years.

• Median 3 year compound growth rate: 43.94%
  
• Median weekly rent: $400
  
• Median rental yield: $4.34%
  
• Vacancy rate: 0.77%

Flora Hill was ranked on Canstar’s top 10 investment suburbs in regional victoria for 2022, and it’s not hard to see why.

Locals have nothing but praise. The suburb is well within reach of shops and schools, public transport options, and is home to a friendly community that welcomes you in. 

Recent research states that the suburb is around 2.9 square metres with a population of roughly 3,955. 

44.57% of the population live on rent - which works out great if you want to make some extra cash with high rental yields at 4.30%.

Home buyers are looking at a pretty sweet payout themselves. Smart Investment Property reported that homeowners pocketed 42.86% in capital gains over 3 years.

• Median house price: $589,314
  
• Latest price change: 
  ▲ Up from 11.46% to 24.23% in 2021
  ≗  Stabilised at 24.86% in 2022 

The suburb reported price gains from 3% to 24% over 10 years.

• Median 3 year compound growth rate: 42.86%
  
• Median weekly rent: $380
  
• Median rental yield: 4.30%

Properties here get snatched up faster than anywhere else in the state, spending only around 20 days on the market!

Bendigo Times reported that Huntly ranked highest for capital growth potential on the Well Home Loans Green Shoots Report, making it one of the best suburbs to invest in Bendigo.

With price hikes of around 20% in the past few years and capital gains of roughly 42.07% over a 5-year period, there’s little doubt why the suburb rose through the ranks so quickly.

Despite the price hikes, Huntly still remains reasonably affordable for the average family. 

High rental rates and yields come with these Bendigo investment property deals. So if you’re looking to make some green on the side, here’s your chance.

• Median house price: $612,237
  
• Latest price change: 
  ▲ Up from 5.11% to 17% in 2021
  ▲ Up again to 29.43% in 2022. 

The suburb reported average price gains from 8% to 24% over the last 10 years.

• Median 3 year compound growth rate: 42.07%
  
• Median weekly rent: $420
  
• Median rental yield: $3.86%
  
• Vacancy rate: 1.64%

This suburb has been turning heads ever since it caught on as a hot property spot. 

According to residents, Epsom is an up and coming investment ground, full of potential. 

Heavy residential and commercial development, including shopping centres and sports grounds, have made it one of the growth corridors in Bendigo, and a great place for families to live.

The suburb is around 10.7 square kilometres with a population of roughly 4,331 people. With 22.71% living on rent and attractive rental rates and yields, investors can easily haul in a good income regularly.

Recent research stated that Epsom’s property price growth spiked by 59% over a 5 year period. Here, investors are looking at serious profit - price gains bumped up to 29.22% in 2022, with the average annual price gain being around 10% per annum.

• Median house price: $634,515
  
• Latest price change:
  ▲ Up from 9.89% to 18.47% in 2021 
  ▲ Up again to 29.22% in 2022

The suburb saw average price gains of around 3% to 30% over a 10 year period.

• Median 3 year compound growth rate: 50.07%
  
• Median weekly rent: $430
  
• Median rental yield: $4.13%
  
• Vacancy rate: 0.94%

From its central location close to all the essentials, to its period homes that spike up demand and interest, Kennington has a lot to offer investors.

The suburb is around 4 square kilometres with a population of around 5,643 people. 

31.30% live on rent - with the median monthly rate around $1,600 and a yield of 3.82%, your wallet will definitely not be complaining.

Statistics tell us that Kennington showed growth in housing prices of around 52.46% over a 5 year period. 

The latest price bumps sat at 16.97% in 2021 and a whopping 32.76% in 2022 - according to Bendigo property market predictions, investors are expected to land some serious paychecks in the near future.

• Median house price: $638,258
  
• Latest price change: 
  ▲ Up from 9.31% to 16.97% in 2021
  ▲ Up again to 32.76% in 2022

The suburb reported average price gains from 5% to 32% over the last 10 years.

• Median 3 year compound growth rate: 45.82%
  
• Median weekly rent: $400
  
• Median rental yield: $3.82%
  
• Vacancy rate: 1.32%

All in all, if you’re looking to put down roots somewhere less commonly invested in, Bendigo may just be right up your street.

If the purchase price is out of your budget, Bendigo offers a number of home loans with attractive interest rates to help you along your investment journey.

According to Roy Morgan’s twelve-month financial survey, a number of banks and financial institutions in Bendigo have the highest customer satisfaction ratings amongst home loan customers.

With a little planning ahead and research, you may be able to snag a property in a location that not only grows in value, but pretty much guarantees that your property will never be vacant again!

Disclaimer: The views, information, or opinions expressed in this blog post are for general information purposes only and should not be relied upon. We have not taken into account specific situations, facts or circumstances, and no part of this blog post constitutes personal financial, legal, or tax advice to you. You should seek tax advice from your accountant, specific to your situation.