Burwood East rental yield sits at approximately 3.4% gross for houses and up to 3.2% gross for units based on current median sale prices and median weekly rents tracked across the suburb. Those headline figures are a starting point — understanding what drives them, and how to push your net return higher, is what separates a good investment from an average one.

Burwood East is a well-established middle-ring suburb in Melbourne’s eastern corridor, sitting roughly 16 kilometres from the CBD. It attracts a stable, owner-occupier-heavy demographic, a detail that shapes both vacancy rates and the quality of rental demand investors can expect. This guide unpacks the real numbers, explains the gross-to-net yield journey, and outlines what investors need to know before entering the Burwood East property market in 2026.

What Is the Rental Yield in Burwood East Right Now?

To calculate gross rental yield, divide annual rent by the purchase price, then multiply by 100. Using the most current data available, here is how Burwood East stacks up:

Houses

• Median sale price: $1.33 million (April–June 2025 quarter, DataVic/REIV via Collings CRM)
• Median weekly rent (suburb-wide): $439 per week (ABS Census 2021 via Collings CRM)
• Annualised rent: $22,828
• Gross rental yield: approximately 1.7%

Units

• Median sale price: $721,000 (April–June 2025 quarter, DataVic/REIV via Collings CRM)
• Median weekly rent (suburb-wide): $439 per week (ABS Census 2021 via Collings CRM)
• Annualised rent: $22,828
• Gross rental yield: approximately 3.2%

It is important to note that the ABS Census 2021 median rent of $439 per week is a suburb-wide figure covering all dwelling types. Dedicated unit rents in 2025 and 2026 are likely to sit higher, given the significant rent growth Melbourne has experienced since 2021. SQM Research data for Melbourne’s eastern suburbs points to rental asking prices rising between 15% and 22% in the three years to mid-2025, which would push unit rents toward the $500 to $530 per week range and improve gross yields further.

House yields in Burwood East are comparatively compressed, which is typical of premium Melbourne middle-ring suburbs where capital values have outpaced rental growth. Investors seeking income-first returns from investment properties in Melbourne often find units and townhouses deliver stronger yield profiles than detached houses in this price bracket.

How Do the Burwood East Property Numbers Compare to Broader Melbourne?

Context matters when evaluating rental burwood east figures against the wider market. According to CoreLogic data, the Melbourne-wide gross rental yield for houses averaged around 2.8% in mid-2025, while units averaged roughly 4.1%. Burwood East houses sit below that city average, reflecting the suburb’s strong capital growth premium: the median house price recorded a year-on-year gain of 4.1% and a quarter-on-quarter gain of 1.8% in the April–June 2025 quarter (DataVic/REIV via Collings CRM).

Units tell a more compelling story for yield-focused investors. The Burwood East unit median surged 26.8% quarter-on-quarter and 18.1% year-on-year in the same period (DataVic/REIV via Collings CRM), indicating exceptional capital momentum. A rising median sale price compresses yield in the short term, but it also signals robust underlying demand — the kind of demand that supports low vacancy and sustainable rent growth over time.

For comparison, our analysis of high rental yield suburbs in Melbourne for 2026 shows inner-ring units in suburbs like Northcote and Preston achieving gross yields of 4.0% to 4.8%, while outer-ring suburbs can push past 5%. Burwood East sits in a yield-versus-growth sweet spot that suits investors who prioritise long-term capital appreciation alongside a reliable income stream.

Gross vs Net Yield: What Do Investors Actually Pocket?

Gross yield is the starting point, not the finish line. Net yield accounts for the costs of owning and managing an investment property. Typical deductions in Victoria include:

1. Property management fees (usually 6% to 9% of collected rent in Melbourne’s eastern suburbs)
2. Council rates (typically $1,200 to $1,800 per year for a Burwood East unit)
3. Water rates (approximately $800 to $1,100 per year)
4. Landlord insurance (around $1,200 to $1,800 per year)
5. Maintenance and repairs (commonly budgeted at 0.5% to 1.0% of property value annually)
6. Body corporate fees for units and apartments (varies significantly by complex)

The Australian Taxation Office (ATO) allows investors to deduct most of these expenses against rental income, including depreciation on fixtures and fittings under a quantity surveyor’s report. For a Burwood East unit purchased at the $721,000 median, a depreciation schedule on a relatively modern property can generate $5,000 to $12,000 in deductions in the early ownership years, materially improving after-tax returns. The ATO’s rental property guide confirms that interest on investment loans, borrowing costs, and capital works deductions (Division 43) are also claimable where applicable.

After accounting for typical costs, a Burwood East unit achieving a 3.2% gross yield would likely deliver a net yield of approximately 2.0% to 2.5%, depending on financing structure and whether the property is negatively geared. Investors in higher marginal tax brackets often find that negative gearing reduces their effective holding cost substantially, making the total-return case — income plus capital growth — more attractive than the gross yield figure suggests.

What Are the Key Considerations When Investing in Burwood East?

Investing burwood east requires looking beyond yield percentages. Here are the factors that experienced property investors weigh carefully:

Demographics and Tenant Demand

ABS Census 2021 data (via Collings CRM) records Burwood East’s population at 10,675, with a median age of 41.0 years and a median household income of $1,610 per week. This is an affluent, established suburb with strong owner-occupier rates. Rental demand is more selective here than in higher-density precincts, but tenant quality is typically high and turnover lower, which reduces vacancy risk and re-letting costs for investors.

Proximity to Employment and Amenity

Burwood East benefits from proximity to Deakin University’s Burwood campus, the Eastlink freeway corridor, and the Box Hill commercial precinct. These demand anchors support consistent tenant enquiry from university staff, professionals, and families seeking access to quality schooling. Tram routes along Burwood Highway provide public transport access to the CBD for tenants without cars.

Supply Pipeline and Vacancy

SQM Research’s Melbourne eastern suburbs vacancy data shows vacancy rates in the 2-3km radius around Burwood East hovering below 1.5% through the first half of 2025, well below the 3% threshold economists associate with balanced markets. Tight vacancy underpins rent growth and reduces the income gaps between tenancy periods that erode net yield.

Property Type Selection

As the numbers show, units and townhouses in Burwood East offer meaningfully better gross yields than detached houses. Investors who hold blocks of units or multi-dwelling assets can benefit from economies of scale in management and maintenance. Our team at Collings regularly sources off-market investment properties in Melbourne including unit blocks and development sites that never reach public portals, giving clients first access to higher-yield opportunities in suburbs like Burwood East.

How Does Collings Real Estate Help Burwood East Investors?

Collings Real Estate has managed investment properties across Melbourne’s inner and middle rings for decades. Our property management and investment advisory teams work with landlords from acquisition through to ongoing portfolio optimisation, with local knowledge that generic national agencies simply cannot replicate.

For investors evaluating the Burwood East property market, our strategists can:

• Run a detailed yield analysis on specific properties, not just suburb medians
• Provide a current rental appraisal benchmarked against live comparable listings
• Identify value-add opportunities (renovation, subdivision potential, unit conversion) that improve net yield
• Connect you with our off-market and pre-market property portal for deals before they are publicly listed
• Manage tenancy from day one with low vacancy and high tenant retention

Our investment portal gives registered investors early access to properties matching their yield and growth criteria. Sign up to the Collings investor portal to receive off-market and pre-market alerts tailored to your brief.

You can also reach our team directly:

• Phone: 03 9486 2000
• Email: info@collings.com.au
• Address: 230 Waterdale Road, Ivanhoe, VIC 3079

Talk to a Collings property strategist today to get a personalised yield analysis for any Burwood East property you are considering — or to discuss how your existing Burwood East investment could be performing better.

Frequently Asked Questions About Burwood East Rental Yield

What is the gross rental yield for a unit in Burwood East in 2026?

Based on the April–June 2025 quarter median unit price of $721,000 (DataVic/REIV via Collings CRM) and the ABS Census 2021 median rent of $439 per week, the indicative gross yield is approximately 3.2%. With rents having grown significantly since 2021, current achievable rents are likely higher, which would push this figure closer to 3.8% to 4.0% for well-positioned units.

Has the Burwood East property market been growing?

Yes. The median unit price in Burwood East rose 26.8% quarter-on-quarter and 18.1% year-on-year in the April–June 2025 quarter (DataVic/REIV via Collings CRM). The median house price grew a more moderate 4.1% year-on-year in the same period, reflecting continued demand across both segments.

Is Burwood East a good suburb for property investment?

Burwood East suits investors prioritising capital growth alongside rental income. The suburb’s proximity to Deakin University, Box Hill, and the Eastlink corridor supports tenant demand. Units and townhouses offer better yield profiles than houses, and the suburb’s affluent, stable demographic base keeps vacancy low and tenant quality high.

What is the median household income in Burwood East?

According to ABS Census 2021 data (via Collings CRM), the median household income in Burwood East is $1,610 per week. This is above the Melbourne median, reflecting the suburb’s professional and family demographic, which supports strong rental demand for well-presented properties.

How does Burwood East rental yield compare to other Melbourne suburbs?

Burwood East unit yields (approximately 3.2% gross on 2025 median prices) sit below the Melbourne unit average of around 4.1% (CoreLogic, mid-2025), reflecting the suburb’s strong capital growth premium. Higher-yield options exist in inner-ring suburbs — see our guide to high rental yield suburbs in Melbourne for a broader comparison.

Burwood East offers a reliable, low-vacancy rental environment with genuine capital growth credentials. For investors who understand the total-return equation, combining a 3%+ gross yield with consistent median price growth of 4% or more per year, it remains one of Melbourne’s more dependable middle-ring investment destinations in 2026.