Bagdad vs Warrane

The median house price is $660K in Bagdad and $650K in Warrane, so Warrane is the cheaper entry point, with Bagdad houses about 2% dearer.

For units, Bagdad sits at a median of $465K against $570K in Warrane, which makes Bagdad the more affordable unit market and Warrane the pricier one.

On cash flow, Warrane leads: houses there return a gross rental yield of 4.60%, compared with 3.92% in Bagdad, a gap of 0.68 percentage points.

Over the past year house prices moved +13.0% in Bagdad (an estimate) and +18.0% in Warrane, so recent momentum favours Warrane, although both suburbs recorded growth.

Rental vacancy is 1.0% in Warrane and 1.3% in Bagdad, so landlords in Warrane face less competition for tenants. Anything under 2% is generally read as a tight market where tenants compete for homes.

Warrane is the bigger suburb, with a population of 2,695 against 1,482, larger than Bagdad; a larger suburb usually means a deeper pool of buyers and tenants.

In short: Warrane for rental income, Warrane for a lower purchase price, Warrane for recent price momentum, Warrane for the tighter rental market. Which matters more depends on whether the investor is buying for cash flow, capital growth or affordability.