306/294 Keilor Road Essendon North VIC 3041

2-bedroom apartment | 294 Keilor Road | 2020 build | negative growth trend in building | 6.28% rental yield possible This property offers a rare combination of a near-new build and a rental yield above 6% in a suburb where the median for two-bedroom units sits at $420,000. The 2020 construction means lower immediate maintenance and higher depreciation benefits, which matter for an investor or an owner-occupier planning to hold for the medium term. The building’s demographic profile—70% owners and 64% of residents staying over five years—suggests a stable, low-turnover environment that supports capital preservation. For a buyer seeking a solid rental performer in a well-located suburb with good school catchments, this unit is positioned competitively. The primary risk is the clear capital value decline seen in recent building sales, with annual growth rates between -1.12% and -1.44% over holding periods of four to seven years. This indicates the building has not appreciated in line with the broader market, likely due to supply concentration in a 65-unit complex. A buyer should enter expecting flat to slightly negative short-term growth and rely on the rental income to carry the investment. The opportunity lies in the gap between the current asking price and the $520,000 achieved for a similar unit in the building—if negotiated below that level, the entry point improves. Hold this property for cash flow, not capital gain, and exit only when the building’s depreciation schedule has been fully utilised.