It’s easy to be attracted to the lowest-priced investment apartments, but in real-world sales, the ‘cheapest’ property is rarely the strongest performer in the long run. I regularly work with investors who have learnt (sometimes the hard way) that true investment success demands looking far beyond what you pay upfront. Here’s the numbers-driven, transparent approach I teach my clients.

What Does ‘Cheap’ Really Mean in 2026?
A lower asking price can often signal issues: lower rental return, higher owners corp fees, high vacancy, risks in the building’s maintenance or simply poor tenant demand. An investor’s real return is about net yield, ongoing expenses, growth potential and liquidity—not what’s on the contract front page.

Running the Full Numbers
Whenever I work with investors, we go over rental yield, outgoings, historical vacancy, future tenant demand, location attractiveness and cash flow. Sometimes, a more expensive unit in a well-managed, lower-outgoings building will outperform a ‘cheaper’ apartment over five years. I encourage clients to benchmark each variable and consider their long-term objectives.

Understand Ongoing Costs and Risks
Hidden costs like special levies, increasing insurance or maintenance, regulatory changes and energy costs impact investment outcomes. Relying on purchase price can sometimes mean ‘buying grief’ if these aren’t factored in from the outset.

Example
One investor recently backed away from a tempting sub-$400k studio when the outgoings erased any rental return advantage. By contrast, a $450k apartment in a lower-cost, high-demand complex ended up a stronger performer after 24 months.

Advice for Vendors
Highlight your property’s strengths: well-managed owners corp, consistent rental, low vacancy, sound physical condition and tenant appeal. The investor buyer market is savvy—make sure the numbers you share withstand scrutiny.

For a real numbers discussion about your apartment’s investment profile, contact Genneva Smarrelli at http://collings.com.au/contact.