Authored by the expert who managed and guided the team behind the Australia Property Pack
Yes, the analysis of Canberra's property market is included in our pack
Everything in this article is based on fresh 2026 data and real sources, and we keep updating it regularly so you always have the latest numbers.
Canberra is Australia's capital city, and its rental market is shaped by a large public sector workforce, universities, and a relatively high-income population.
If you're a foreign buyer wondering what rental yield you can actually expect from a Canberra apartment, this guide gives you the honest, numbers-first answer.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Canberra.
What rental yields can I realistically get from an apartment in Canberra?
What's the average gross rental yield for apartments in Canberra as of 2026?
As of early 2026, the average gross rental yield for apartments in Canberra sits at around 5.0%, which is a solid return compared to many other Australian capital cities.
Most apartment investments in Canberra fall within a gross yield range of 4.3% to 5.8%, depending on what you buy and where you buy it.
The main factor that causes Canberra apartment yields to vary is the split between newer inner-city stock (like Braddon or Kingston) where prices per square metre are high and compress yields, versus older or outer-suburb units (like in Belconnen or Tuggeranong) where lower purchase prices push yields higher.
Compared to Sydney and Melbourne, Canberra's gross yields are noticeably stronger because apartment prices are more moderate while rents remain elevated thanks to the city's public sector workforce and student population.
What's the average net rental yield for apartments in Canberra as of 2026?
As of early 2026, the average net rental yield for apartments in Canberra owned by a foreign buyer is around 2.8%, which is significantly lower than the gross figure once all costs are factored in.
Most foreign apartment investors in Canberra can expect net yields in the range of 2.2% to 3.6%, depending on strata levies, land tax, and how efficiently the property is managed.
The single biggest expense that reduces gross yield to net yield in Canberra is land tax combined with the foreign ownership surcharge, which together can easily cost several thousand dollars per year because the ACT charges 0.75% of the property's unimproved land value on top of standard land tax for foreign owners.
By the way, you will find much more detailed data in our property pack covering the real estate market in Canberra.
What's the typical rent-to-price ratio for apartments in Canberra in 2026?
As of early 2026, the typical rent-to-price ratio for apartments in Canberra is around 5.1% per year, which translates to roughly 0.42% per month.
Most apartment transactions in Canberra fall within a rent-to-price ratio range of 4.3% to 5.8% annually, with the spread driven by location and building quality.
The highest rent-to-price ratios in Canberra tend to appear in value-oriented suburbs like Bruce, Scullin, and parts of Woden or Tuggeranong, where purchase prices are lower but rental demand remains strong from students, public servants, and families.
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How much rent can I charge for an apartment in Canberra?
What's the typical tenant budget range for apartments in Canberra right now?
In early 2026, the typical monthly tenant budget for renting an apartment in Canberra ranges from A$2,000 to A$3,100 per month (approximately $1,340 to $2,080 USD, or €1,140 to €1,770 EUR).
Tenants targeting mid-range apartments in Canberra generally budget between A$2,400 and A$2,800 per month (approximately $1,610 to $1,875 USD, or €1,370 to €1,595 EUR), which typically gets them a well-located 2-bedroom unit in suburbs like Turner, Dickson, or Phillip.
For high-end or luxury apartments in Canberra, tenants budget A$3,000 to A$4,000 per month or more (approximately $2,010 to $2,680 USD, or €1,710 to €2,280 EUR), which covers premium 2 or 3-bedroom units in sought-after locations like Kingston Foreshore, NewActon, or Braddon.
We have a blog article where we update the latest data about rents in Canberra here.
What's the average monthly rent for a 1-bed apartment in Canberra as of 2026?
As of early 2026, the average monthly rent for a 1-bedroom apartment in Canberra is around A$2,150 per month (approximately $1,440 USD or €1,225 EUR).
Entry-level 1-bed apartments in Canberra rent for A$1,800 to A$2,000 per month ($1,205 to $1,340 USD, or €1,025 to €1,140 EUR), and these are typically older units in suburbs like Belconnen, Woden, or outer Gungahlin with basic finishes and no premium views.
Mid-range 1-bed apartments rent for A$2,100 to A$2,400 per month ($1,405 to $1,610 USD, or €1,195 to €1,370 EUR), and in Canberra this usually means a well-maintained unit in popular inner suburbs like Turner, Lyneham, or Dickson with secure parking.
High-end 1-bed apartments rent for A$2,600 to A$3,000 per month ($1,740 to $2,010 USD, or €1,480 to €1,710 EUR), and these are typically modern units in premium locations like Braddon, Kingston Foreshore, or NewActon with quality finishes and amenities.
What's the average monthly rent for a 2-bed apartment in Canberra as of 2026?
As of early 2026, the average monthly rent for a 2-bedroom apartment in Canberra is around A$2,590 per month (approximately $1,735 USD or €1,475 EUR), based on SQM's direct 2-bed unit data.
Entry-level 2-bed apartments in Canberra rent for A$2,200 to A$2,400 per month ($1,475 to $1,610 USD, or €1,255 to €1,370 EUR), and these are typically older-style units in Tuggeranong, outer Belconnen, or Weston Creek with functional layouts but dated interiors.
Mid-range 2-bed apartments rent for A$2,500 to A$2,800 per month ($1,675 to $1,875 USD, or €1,425 to €1,595 EUR), and in Canberra this usually means a modern or renovated unit in Gungahlin, Bruce, or inner Belconnen with secure parking and reasonable proximity to amenities.
High-end 2-bed apartments rent for A$3,000 to A$3,500 per month ($2,010 to $2,345 USD, or €1,710 to €1,995 EUR), and these are typically newer builds in premium spots like Kingston, Griffith, or Braddon with quality finishes, good natural light, and often a balcony or courtyard.
What's the average monthly rent for a 3-bed apartment in Canberra as of 2026?
As of early 2026, the average monthly rent for a 3-bedroom apartment in Canberra is around A$3,450 per month (approximately $2,310 USD or €1,965 EUR).
Entry-level 3-bed apartments in Canberra rent for A$2,800 to A$3,200 per month ($1,875 to $2,145 USD, or €1,595 to €1,825 EUR), and these are typically older townhouse-style units or larger apartments in outer suburbs like Wanniassa, Kambah, or outer Gungahlin.
Mid-range 3-bed apartments rent for A$3,300 to A$3,800 per month ($2,210 to $2,545 USD, or €1,880 to €2,165 EUR), and in Canberra this usually means a spacious unit in family-friendly areas like Harrison, Franklin, or parts of Woden with good schools nearby.
High-end 3-bed apartments rent for A$4,000 to A$5,000 per month ($2,680 to $3,350 USD, or €2,280 to €2,850 EUR), and these are typically large, modern units in premium inner locations like Kingston Foreshore, Campbell, or Barton with high-quality finishes and multiple living areas.
How fast do well-priced apartments get rented in Canberra?
A well-priced apartment in Canberra typically gets rented within 7 to 14 days in high-demand inner areas, and within 14 to 28 days in outer suburbs or oversupplied pockets.
Canberra's vacancy rate is around 1.5% to 1.9% as of early 2026, which is below the balanced threshold of around 2.5% to 3%, meaning the market still favours landlords.
The main factors that cause some Canberra apartments to rent faster than others are proximity to the Parliamentary Triangle and major employment hubs, access to the light rail corridor, and whether the unit offers secure parking, which matters a lot in a car-dependent city like Canberra.
And if you want to know what should be the right price, check our latest update on how much an apartment should cost in Canberra.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Australia versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
Which apartment type gives the best yield in Canberra?
Which is better for yield between studios, 1-bed, 2-bed and 3-bed apartments in Canberra as of 2026?
As of early 2026, studios and 1-bedroom apartments typically offer the best rental yields in Canberra, but 2-bedroom units provide the best balance of yield and tenant demand depth.
Studios and 1-beds in Canberra can achieve gross yields of 5.0% to 5.8%, 2-beds typically yield 4.1% to 4.8%, and 3-beds range from 3.8% to 4.8% depending on location and building quality.
The main reason smaller apartments outperform on yield in Canberra is that the city has a large pool of young professionals, public sector workers, and university students who want convenient, affordable housing near work or study, which keeps rents strong for smaller units while their lower purchase prices boost yield percentages.
Which features are best if you want a good yield for your apartment in Canberra?
The top features that boost rental yield for Canberra apartments are walkability to major town centres (like Civic, Belconnen, Woden, or Gungahlin), secure parking, and efficient heating and cooling systems, because Canberra's cold winters make climate control a genuine tenant priority.
Middle floors tend to rent faster than ground floors or very high floors in Canberra, because ground floors can feel less secure and high floors in older buildings without good lifts are less appealing.
Apartments with balconies or courtyards do command slightly higher rents in Canberra, especially post-pandemic, but the premium is modest so it only makes sense if the building's strata levies are not inflated by fancy common amenities.
Building features like lifts and secure parking raise rents meaningfully in Canberra, but concierge services and resort-style pools often do not justify their higher strata levies, so simpler buildings tend to deliver better net yields.
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Which neighborhoods give the best rental demand for apartments in Canberra?
Which neighborhoods have the highest rental demand for apartments in Canberra as of 2026?
As of early 2026, the neighborhoods with the highest rental demand for apartments in Canberra are the Inner North (Braddon, Turner, Dickson, Lyneham), Inner South (Kingston, Griffith, Barton), and town centre hubs like Belconnen, Gungahlin, and Woden.
The main demand driver in these Canberra neighborhoods is proximity to major employment nodes, particularly the Parliamentary Triangle, government departments, and the Australian National University, which creates a reliable pool of tenants who want short commutes.
Vacancy rates in these high-demand Canberra areas typically sit below 1.5%, and well-priced units often lease within 7 to 14 days.
Molonglo Valley is an emerging neighborhood gaining rental demand momentum in Canberra, as new infrastructure and housing supply attract families and young professionals priced out of more established inner suburbs.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Canberra.
Which neighborhoods have the highest yields for apartments in Canberra as of 2026?
As of early 2026, the neighborhoods with the highest rental yields for apartments in Canberra include parts of Belconnen (Bruce, Scullin, Hawker), Woden and Weston Creek (Lyons, Pearce, Weston), and Tuggeranong (Greenway, Wanniassa).
Gross rental yields in these top-yielding Canberra neighborhoods typically range from 5.3% to 5.8%, compared to 4.3% to 4.8% in premium inner areas like Kingston or Braddon.
The main reason these Canberra suburbs offer higher yields is that apartment prices are significantly lower than inner-city areas while rents remain supported by steady demand from students at nearby University of Canberra or CIT campuses, government workers who prefer affordable housing, and families who value space over inner-city lifestyle.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Australia. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
Should I do long-term rental or short-term rental in Canberra?
Is short-term rental legal for apartments in Canberra as of 2026?
As of early 2026, short-term rentals are legal in Canberra, but they are regulated at both the territory level and the building level.
The main legal requirement is that the ACT Government charges a 5% Short-Term Rental Accommodation Levy on bookings of 28 nights or less that are facilitated through booking platforms like Airbnb, and this levy is collected by the platform and remitted to the ACT Revenue Office.
There is no territory-wide registration or licensing requirement yet, but your owners corporation (strata body) can impose its own rules that restrict or ban short-term letting in your building, so you must check the building's by-laws before buying.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Canberra.
What's the gross yield difference short-term vs long-term in Canberra in 2026?
As of early 2026, well-run short-term rentals in Canberra can achieve gross yields of 6% to 8% or higher, compared to 4.3% to 5.8% for long-term rentals, but this uplift comes with significantly more work and risk.
The typical gross yield range for short-term rentals in prime Canberra locations is 6% to 8%, while long-term rentals typically achieve 4.3% to 5.8%, giving short-term a potential uplift of 1 to 3 percentage points on gross yield.
The main additional costs that reduce the net yield advantage of short-term rentals in Canberra include platform fees (typically 3% to 15%), higher cleaning and turnover costs, furnishing and styling expenses, the 5% ACT STRA levy, and more intensive management time or fees.
To outperform a long-term rental in Canberra, a short-term rental typically needs to achieve occupancy rates of at least 60% to 70%, because the higher nightly rates need to offset the extra costs, vacancy gaps, and seasonal dips that Canberra experiences outside peak parliamentary sitting periods and major events.
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What costs will eat into my net yield for an apartment in Canberra?
What are building service charges as a % of rent in Canberra as of 2026?
As of early 2026, typical building service charges (owners corporation levies) for apartments in Canberra represent around 12% to 22% of annual rent, or roughly A$4,000 to A$7,000 per year ($2,680 to $4,690 USD, or €2,280 to €3,990 EUR).
The realistic range of building service charges in Canberra spans from about 10% of rent for simple walk-up buildings with minimal common facilities to over 25% for buildings with lifts, pools, gyms, or concierge services.
In Canberra specifically, the services that typically justify higher-than-average strata levies are embedded utility networks (where the building bulk-buys electricity or gas), extensive landscaping to manage Canberra's harsh climate, and heating for common areas during the city's cold winters.
What annual maintenance budget should I assume for an apartment in Canberra right now?
Apartment owners in Canberra should budget around A$3,000 to A$6,000 per year ($2,010 to $4,020 USD, or €1,710 to €3,420 EUR) for maintenance, which represents roughly 0.5% to 1.0% of the property's value.
The realistic range of annual maintenance costs in Canberra varies from about A$2,000 for newer apartments in good condition to A$8,000 or more for older buildings with aging systems or frequent repair needs.
The most common maintenance expenses Canberra apartment owners face are heating and cooling system servicing (essential given Canberra's hot summers and freezing winters), hot water system repairs, and periodic interior painting to address wear from the dry climate and temperature extremes.
What property taxes should I expect for an apartment in Canberra as of 2026?
As of early 2026, foreign owners of rental apartments in Canberra should expect to pay several thousand dollars per year in property taxes, combining land tax and the foreign ownership surcharge.
The realistic range of property taxes in Canberra for a foreign-owned rental apartment is roughly A$3,000 to A$6,000 per year ($2,010 to $4,020 USD, or €1,710 to €3,420 EUR), depending on the property's unimproved land value.
Property taxes in the ACT are calculated based on the Average Unimproved Value (AUV) of the land, not the market value of the apartment, and foreign owners pay an additional 0.75% surcharge on top of the standard land tax rates.
There are no property tax exemptions available for foreign owners renting out their Canberra apartment, because land tax only exempts properties used as the owner's principal place of residence, which does not apply to investment properties or non-resident owners.
If you want to go into more details, we also have a blog article detailing all the property taxes and fees in Canberra.
How much does landlord insurance cost for an apartment in Canberra in 2026?
As of early 2026, the typical annual landlord insurance cost for an apartment in Canberra is around A$400 to A$600 per year ($270 to $400 USD, or €230 to €340 EUR).
The realistic range of annual landlord insurance costs in Canberra spans from about A$300 for basic coverage on a modest apartment to A$800 or more for comprehensive coverage on a higher-value property with additional protections like rent default cover.
What's the typical property management fee for apartments in Canberra as of 2026?
As of early 2026, the typical property management fee for apartments in Canberra is around 6% to 8.5% of collected rent, which translates to roughly A$155 to A$220 per month ($105 to $145 USD, or €90 to €125 EUR) on a typical 2-bed unit.
The realistic range of property management fees in Canberra spans from about 5.5% for competitive agencies with minimal services to 10% or more for full-service management including regular inspections, maintenance coordination, and detailed reporting.
Standard property management fees in Canberra typically include tenant sourcing, rent collection, routine inspections, and basic maintenance coordination, but leasing fees and advertising costs are often charged separately as one-off expenses when finding a new tenant.
We made this infographic to show you how property prices in Australia compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Canberra, we always rely on the strongest methodology we can, and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| SQM Research (Weekly Rents) | SQM is a respected Australian property data firm with transparent methodology. | We used their January 2026 Canberra weekly rent data as our primary rent benchmark. We converted weekly figures to monthly and annual amounts for yield calculations. |
| Domain House Price Report | Domain is a major Australian property portal with widely cited research. | We used their Canberra unit median price to triangulate apartment values. We cross-checked this against other sources to ensure realistic purchase price assumptions. |
| NAB Property Market Insights | NAB is a major bank drawing on large datasets for market analysis. | We used their Canberra unit median as a second price reference point. We also used their market context to explain Canberra-specific conditions. |
| ACT Revenue Office (Land Tax) | It's the official tax authority for the ACT. | We used their guidance to identify when land tax applies to rental properties. We factored land tax into all net yield calculations. |
| ACT Revenue Office (Foreign Surcharge) | It's the official statement of the ACT's foreign owner surcharge. | We used their 0.75% surcharge rate in our foreign buyer cost estimates. We included this explicitly in net yield calculations. |
| ACT Revenue Office (STRA Levy) | It's the official guidance on the ACT's short-term rental levy. | We used their 5% levy rate when comparing short-term versus long-term rental strategies. We factored this into short-stay yield estimates. |
| ACT Parliament (Unit Titles Guide) | It's an official ACT Parliament document explaining unit titles and strata. | We used it to explain how owners corporations work and fund costs via levies. We used it to justify our strata levy estimates. |
| ACT Government (Owning a Unit) | It's official ACT Government guidance written for everyday buyers. | We used it to explain strata and owners corporation basics in plain English. We referenced it for building-level short-term rental restrictions. |
| Foreign Investment (Residential Compliance) | It's the Australian Government's official foreign investment portal. | We used it to highlight key constraints that apply to foreign buyers. We ensured our advice is realistic for foreign purchasers. |
| Reserve Bank of Australia (Cash Rate) | It's Australia's central bank and primary source for interest rates. | We used it to set the macro backdrop for financing conditions in early 2026. We used it to contextualize why yields should be judged against prevailing rates. |
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