Asset Index 02
Off-the-Plan Townhouses
Tax status
New-build — full deduction + CGT exemption from indexation
Yield range
4.0% — 5.2% gross
Capital required
$140k — $220k deposit
Best for
Investors prioritising blue-chip postcodes and lower management overhead.
Thesis
Boutique inner-metro yield with preserved CGT indexation and architectural quality tenants pay for.
Mid-ring townhouse stock in walk-up infrastructure suburbs is the highest-conviction medium-density play post-Budget. Premium tenants pay for design; investors collect new-build tax treatment and stronger-than-apartment capital growth.
Why now
Foreign-investor ban extended to mid-2029 frees this tier for domestic buyers.
Build-to-Rent pipeline absorbs apartment demand, leaving townhouses scarce.