Buyers are rushing to the Gold Coast as rental yields outpace other states to provide excellent value and return on investment.

Robina local Brian Washbourne and his business partner, David Bugeja, have invested in four three-bedroom terrace homes at the Robina Group’s Botanique through their company, Bugwash Property Partners.

Brian said he had lived in Robina for more than 20 years and jumped at the opportunity to secure the new homes to capitalise on the phenomenal growth tipped for the suburb.

“I know the area very well and was driving past Botanique when they had just started breaking ground. I knew I had to get in early to secure an investment in the community, as I didn’t want to miss out on this great opportunity,” he said.

“In the end, we decided to secure four homes, with Bugwash Property Partners, all overlooking the parklands, with nice big timber decks and north east aspects, which will be appealing to renters.”

Brian believes the Gold Coast are a far more attractive investment than the southern states.

“I think a lot of people know the Gold Coast is a great investment but some don’t have the courage to dive in just yet,” he said

“My strategy is to borrow 56 per cent and pay the rest of the property value.

“David and I also use a unit trust for each property.

“We have found we would pay double in Sydney and not have the same return we have on the Gold Coast.

“We have a 5-6 per cent rental yield on the Gold Coast compared to Sydney which scrapes in 3-4 per cent.

Jane Evans is a Sydney investor who bought an off-the-plan apartment at Bohème Apartments in Robina.

“The market is very hot in Sydney, so you need to have enough cash to be able to get into it in the first place without mortgaging yourself up to your eyeballs, so for now I’m happy to be renting and investing elsewhere,” Ms Evans said.

“With the Gold Coast Commonwealth Games coming up and a lot of industries shifting to Queensland, it’s an excellent place to put your money.”

REIQ Gold Coast chairman John Newlands said the Gold Coast market has been in a healthy position for 18 months already.

“It is quite probable that if an investor bought a home for $500,000 they would make around $500 to $550 a week,” Mr Newlands said.

“It is affordable compared to Sydney and Melbourne which have reached a point where they are too expensive and rents haven’t caught up.”

CoreLogic data shows Gold Coast house prices have moved up significantly with the median house price up 5.5 per cent over the past 12 months and 16 per cent over the past five years, compared with the unit market where prices were 4.1 per cent higher over both the past 12 months and five years.

CoreLogic research director Tim Lawless said the Gold Coast property market had recovered since the financial turmoil of the Global Financial Crisis.

“The Gold Coast housing market has well and truly emerged from the soft conditions that were evident post GFC,” he said.

“Prices and buyer demand have generally been trending higher since 2012.”