So the property has been leased. In WA which doesn't mean much to the bulk of Australians, who do not live in WA, nor work in the mining game. If I had to buy a property for investment, it would be in an area where high growth was occurring, but of course there comes risk with the high growth, especially when you sign a mortgage that spans decades and things can change over that time.
If this property that is now claimed to be leased for 1200 a week is worth no more than about 600k then I would say the 10% gross yield might be worth that risk, considering net yield after costs would be a percent or two better than a cash account yield, with less risk. Chances of capital growth I wouldnt have a clue about in this area, but once again risk is negative capital growth, otherwise known as loss.
