2/2 Elm Street, Bayswater VIC 3153

2/2 Elm St, Bayswater | 2-bed unit, 1 bath, 1 car | competitive entry price vs townhouses | strong school zone, no overlays | demand driven by undersupply of smaller stock The buying case for 2/2 Elm Street rests on its position as a lower-cost entry point into a street where recent comparable sales have consistently exceeded expectations, particularly for larger townhouses. With only one bathroom and one car space, this unit avoids the premium land tax that drives up three-bedroom townhouses, yet it sits within the same school zone and council area. It serves best for an investor seeking a stable rental yield or a first-home buyer priced out of detached housing, where the smaller footprint and lower land component reduce holding costs without sacrificing location quality. The primary risk is the unit’s smaller land component compared to the 253m² and 275m² comparables, which caps long-term capital growth relative to those properties. However, this also means lower entry capital and less exposure to market corrections in the premium segment. The opportunity lies in the proven rental demand for two-bedroom units on Elm Street, with the comparable at 2/26 returning $575 per week. Hold this property for steady cash flow and moderate appreciation, or use it as a stepping stone into the higher-value townhouse market once equity builds.