Franklin Tops Canberra’s Rental Yield Rankings for Savvy Investors

Franklin has emerged as Canberra’s rental yield hotspot, topping the ACT charts with gross returns nudging 5.2%—well above the territory’s average, according to the latest CoreLogic data released on June 30. Investors are swooping on the northern Gungahlin suburb as rental supply tightens and property values stabilise.

Why Franklin? New Priorities Drive Investor Interest

This surge in Franklin’s rental yields comes as buyers across the ACT re-evaluate their priorities. The region’s consistently low vacancy rate—sitting at just 1.1% in June, per the latest Domain figures—has set the scene for competition. While blue-ribbon inner suburbs like Griffith and Yarralumla remain popular for prestige buyers, up-and-coming precincts north of the city are delivering better returns for landlords.

"It’s the reliable choice now," said a local property manager with an agency on Kate Crace Street. "We recently advertised a two-bedroom townhouse on Manning Clark Crescent and had 42 enquiries before the first open." Across Franklin, proximity to the Gungahlin Town Centre, light rail stops and essential amenities such as Franklin Early Childhood School or Harrison Woolworths proves a lure for young renters and public sector professionals searching for flexibility.

Rental Yields Outpace the Market

CoreLogic’s June report confirms Franklin as the ACT’s rental yield leader. The median house price in Franklin in May was $815,000, while the typical weekly rent was $820, translating to a 5.2% yield before costs—well ahead of Canberra’s citywide 3.8%. The suburb’s growth outpaces neighbouring Harrison (4.7% yield, $775k median price) and fends off competition from Belconnen hotspots like Bruce, where median yields sit at 4.4% for units.

Rental agencies are reporting turnaround times for listings often under 10 days. Canberra’s overall auction clearance rate stands at 65%, but investor stock in Franklin rarely makes it to auction, with homes on Oodgeroo Avenue and Christina Stead Street often snapped up by investors pre-listing—sometimes after private negotiations arranged by Belle Property Gungahlin or McGrath Canberra teams.

Supply remains tight. Just 12 new rental listings were recorded in Franklin during June, while Gungahlin had fewer than 75 new rental opportunities overall. These numbers, sourced from Allhomes, keep pressure on rents and help maintain strong yields, even as owner-occupiers drive up competition for family blocks within the P-10 catchment zones.

Ready to Invest? Here’s What to Watch

Property strategists at Property Investment Professionals of Australia (PIPA) warn that yield trends favouring Franklin could stick around as long as the city’s vacancy rate stays low and essential services cluster nearby. But not all segments move equally—two- and three-bedroom townhouses on Oodgeroo Avenue and Henry Kendall Street attract the widest rental interest, while standalone houses command premium rents in family-favoured school catchments.

Local investors are advised to watch infrastructure upgrades closely—new light rail expansion to Mitchell and improvements at Yerrabi Pond parklands are poised to boost liveability further. Given current tight supply and robust demand for flexible housing near central transport arteries, Franklin looks set to defend its rental yield crown through the second half of 2026. For Canberrans weighing their next move, attention is likely to remain fixed on northside’s quietly booming suburb.