Toorak Delivers 4.9% Rental Yield, Outperforming Every Other Local Suburb

Toorak posted the highest rental yield for investors in the June quarter with a gross return of 4.9 per cent on median properties. Data compiled by local agents showed this figure exceeded yields in adjacent pockets by at least 0.7 percentage points.

The result arrives as vacancy rates in established inner suburbs tightened to 1.8 per cent last month. Landlords have responded by lifting advertised rents on three-bedroom homes by an average of $65 a week since March.

Street-level performance

Units on the western end of Toorak Road near the Village shops delivered the strongest returns. A two-bedroom apartment at 42 Toorak Road leased in late June for $780 a week, pushing the annualised yield above 5.2 per cent after strata costs. Further east, townhouses along Grange Road close to the railway line also performed well, with three recent leases averaging 4.7 per cent.

Investors have favoured these addresses because of direct access to the 8.03am train from Heyington station and the convenience of the Toorak Village retail strip. Both locations recorded zero vacancy periods longer than nine days in the past twelve months.

Yield drivers and next steps

CoreLogic figures released on 8 July 2026 placed the median Toorak unit price at $1.48 million. Weekly rents for comparable stock averaged $795, supporting the 4.9 per cent yield calculation after standard holding costs. This ratio has widened since December 2025 when the same metric sat at 4.3 per cent.

Buyers entering the market now should inspect listings on Wallace Avenue and Orrong Road before the spring auction cycle begins. Checking current tenancy schedules with managing agents at the Toorak Village offices provides the quickest route to accurate net-yield estimates.

This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.