Lot 2601 Fairmont Cres, Fraser Rise VIC

“Fraser Rise Co-Living Investment - $42.6k Income, 5.5% Yield, 5-Year Rent Guarantee”

Property analysis by:

Investment Highlights

• Priced at $779,900 turnkey with co-living specification.
• Independent rent guidance feasibility set at $840 per week for $42,631.68 p.a. and 5.5% gross yield.
• Income stability - optional 5-year rent guarantee available from the nominated co-living manager with vacancy and arrears top-ups.
• Purpose-built design - 3 ensuited bedrooms for room-by-room leasing to uplift rent per m² versus standard single-tenancy townhouses.
• Location advantage - north-west corridor near Watergardens rail and retail with quick access to Melton, Western and Calder Freeways.

Key Financials

Purchase price: $779,900 (turnkey)
Configuration: 3 Bedrooms, 3 Bathrooms, 1 Car (co-living layout)
Rental appraisal: Feasibility at $840/wk → ~$42,631.68 p.a.
Gross yield: ~5.5% on package price
Furniture pack: curated co-living set with 50% included and the balance commonly paid from rent.
Finance assumption (illustrative): interest 6.00% with principal and interest repayments

Location & Growth Drivers

Fraser Rise benefits from established amenity across Caroline Springs and Taylors Lakes with Watergardens Town Centre and station a short drive away. Bus links, arterial road access and expanding employment nodes support durable tenant demand. Co-living targets professionals and key workers seeking affordable private ensuites with quality shared spaces in a modern townhouse setting.

Build Specification (Co-Living)

• House size ~173 m² over two levels on ~168 m² land - single garage.
• 3 ensuited bedrooms plus open plan living and kitchen to suit room-by-room leasing.
• Turnkey inclusions - landscaping, blinds, flooring, stone benchtops, stainless appliances, LED downlights, driveway and paths.
• Comfort and efficiency - split-system climate control, insulation to energy report, remote sectional garage door.

Why This Deal Stacks Up

1. Multiple income streams - three private ensuites support higher aggregate rent and reduce reliance on a single tenancy.
2. Cashflow stabilisation - optional five-year rent guarantee can buffer early vacancy and arrears periods.
3. Tenant appeal - modern finishes and furnished option shorten days to let and support premium room rates.
4. Turnkey delivery - comprehensive inclusions limit variation risk and accelerate time to first rent.
5. Growth corridor fundamentals - proximity to transport, retail and employment hubs underpins long run demand.

Risks & Mitigations

• Interest rate sensitivity - cashflow depends on debt costs at 80% LVR. Mitigation: target upper appraisal rent, consider interest only periods or sharper pricing, and leverage the rent guarantee.
• Vacancy concentration - any single room vacancy impacts income. Mitigation: active leasing cadence, strong house rules, staggered lease renewals.
• Regulatory settings - standard residential in VIC typically permits three tenants without a rooming house licence. Mitigation: remain within three-tenant configuration or pursue licensing if strategy changes.
• Operating cost creep - utilities and PM fees can erode yield. Mitigation: bundle utilities with caps, review PM fee structure annually, proactive maintenance.