Agree 100%. Mental hurdles. Buy with the brain, not the heart. Easier said than done though.
I always believe that Return = Yield + Capital Gain (regardless of whether it is property, equities, or DCM [debt]). And all three of these will be equal over time. That is, if Debt yield is 6% (use BBSW as a proxy), property rental + capital gain will approximate 6%, and equity dividend + growth will also approximate 6%. If one moves, so does the other (which is why, for example, you see cap rates on commercial properties rise following upward movements in interest rates). WIth property, when rent + expected capital growth exceeds debt yields, you usually find that property prices rise (which, assuming rents are sticky and remain broadly unchanged, means that yield {net rent / cost} will subsequently fall. Over the last 40 years of investing, I have found this generally to be true. So, for example, when I have identified a property with gross yield of, say, 6%, and cap growth expectation of 2% (thus total Yield = 8%), and where comparatives (local and intrastate) are less, the property value growth rate usually outperforms (at the risk of saying too much: A few years ago I found some units where this was the case, in a "developing area", so instead of just buying one unit I ended up buying the block: In for a penny, in for a pound eh?).
So back on topic here: Canterbury, Dulwich Hill, and Hurlstone Park all tick the boxes (whereas yield is already slightly less in Marrickville). Canterbury metro (about 18 minutes to the city) sits next door to a new set of shops, and across the road from a new DA-approved three-tower development. It has road access to the city (New Canterbury Road & Parramatta Road, 25 minutes). It is less than 5 minutes from Canterbury Hospital, and 20 minutes from the airport. Two suburbs away in Ashfield you have direct access to the M4 tunnel (although Ashfield prices are 20% higher than Canterbury). Canterbury Racecourse is also set to be upgraded (see https://haveyoursay.cbcity.nsw.gov.au/canterbury-racecourse-planning-strategy), and the acquatic centre should be completed by the end of 2027 (see https://lipman.com.au/news/new-project-canterbury-leisure-and-aquatic-centre/). Bike paths have also been upgraded along the riverfront, and Croydon Park has just been upgraded. In other words, the civil works in and around Canterbury point to the emergence of a first grade residential experience.
