A new report from REA Group has identified Australia’s top 200 property investment suburbs, with Queensland and Western Australia emerging as the standout states for investors.

Queensland dominated the rankings with 98 suburbs, while Western Australia followed closely with 72. South Australia had 17 suburbs on the list, while New South Wales recorded 7, the Northern Territory 4, and Victoria just 2. The analysis considered factors including rental yield, annual price growth, and the average time it takes to secure a tenant. REA Group senior economist Angus Moore says regional and outer suburban areas featured strongly, reflecting a trend of higher yields and stronger growth in those markets.

“Regional areas often offer higher rental returns, and many have experienced significant price growth over the past five years. These fundamentals continue to attract investors seeking both yield and capital gains,” Moore says.

However, Moore cautions that data alone should not dictate investment decisions. “Some of the highest-growth locations are tied to specific industries, like mining, and may not have the same long-term stability. Investors should always weigh up the strength of the local economy, population trends, and infrastructure before making a decision.”

The results underline the broad appeal of property investment across Australia, but also reinforce the need for careful due diligence.