Gladstone’s property market has been quietly heating up. Investors are now looking beyond Australia’s capital cities and discovering this Central Queensland hub’s blend of high rental yields, strong owner-occupier demand, and infrastructure growth.
Why Gladstone is on Investors’ Radar in 2025
Gladstone’s appeal comes from a diverse economy anchored by heavy industry, LNG, and a deepwater port, but it’s also benefiting from lifestyle migration trends and regional affordability.
Compared to Brisbane or the Sunshine Coast, median house prices are still accessible — with some suburbs offering gross rental yields over 6%.
Local mortgage broker Coral Jacobs from AJ Home Loans Gladstone notes:
“The key here isn’t just chasing the highest yield — it’s understanding the tenant demographic and the long-term infrastructure pipeline.”
Key Drivers of the Gladstone Market in 2025
1. Population Stability & Industry Support
Gladstone’s population of around 34,000 (ABS 2021 Census) has been stable for the last decade, underpinned by major employers like the LNG industry, alumina refineries, and port operations.
The Queensland Government’s ongoing investment in infrastructure and renewable projects is expected to sustain employment, which in turn supports housing demand.
2. Affordability Compared to Coastal Hotspots
Median house prices in Gladstone are still far lower than in nearby coastal hubs like Hervey Bay or the Sunshine Coast. With medians as low as $345k in Gladstone Central and even premium areas like Tannum Sands at $635k, investors and even first home buyers, can enter at a fraction of the cost of Brisbane property.
3. Rental Yields Outpacing the State Average
The average gross rental yield in Gladstone sits between 5%–6% for houses, with some unit markets delivering 7–8% (SQM Research). This makes the city appealing to yield-focused investors priced out of lower-yield metro areas.
South Gladstone – Strong Growth Meets Balanced Ownership
- Median house price: $475,000
- 12-month growth: 37.68%
- Median rent: $450/week
- Gross yield: 5.58%
- Owner-occupancy: ~49%
South Gladstone’s mix of older homes and newer builds makes it a versatile choice. Price growth above 37% in the last year indicates accelerating demand. The suburb’s near-equal split between renters and homeowners reduces vacancy risk and creates opportunities for both renovation flips and steady rentals.
Buyers seeking value-add potential will find plenty of post-1980s stock here that can be modernised for higher rents.
West Gladstone – Family Appeal and Consistent Returns
- Median house price: $450,000
- 12-month growth: 25%
- Median rent: $462/week
- Gross yield: 5.46%
- Owner-occupancy: ~53%
Close to schools, parks, and shopping, West Gladstone is favoured by families. Yields sit comfortably above 5%, and 4-bed houses fetch significantly higher rents, pushing ROI even further for the right property type.
For owner-occupiers, West Gladstone’s community feel and amenity access make it a safe long-term choice.
Clinton – High Owner Occupancy and Solid Capital Growth
- Median house price: $531,000
- 12-month growth: 26.88%
- Median rent: $520/week
- Gross yield: 5.36%
- Owner-occupancy: ~63.7%
Clinton combines steady rental demand with a homeowner-dominated market. Its newer housing stock and proximity to employment hubs keep values climbing. This suburb is a mid-to-upper price entry point for Gladstone, but the consistency in growth over multiple years makes it worth consideration for buy-and-hold investors.
Kin Kora – Consistent Demand and Competitive Yields
- Median house price: $520,000
- 12-month growth: 30.82%
- Median rent: $525/week
- Gross yield: 5.63%
- Owner-occupancy: ~66.9%
Kin Kora is small but competitive. High owner-occupancy levels indicate low turnover and community stability, while yields over 5.6% keep investors interested. The suburb’s limited stock can push prices up quickly when demand rises — a trend worth watching.
Kirkwood – Modern Estates and Lifestyle Buyers
- Median house price: $590,000
- 12-month growth: 26.88%
- Median rent: $550/week
- Gross yield: 4.89%
- Owner-occupancy: ~51.1%
Kirkwood’s master-planned estates are attracting lifestyle-focused buyers. While yields are slightly lower due to higher entry prices, the quality of housing stock and proximity to major shopping centres suggest strong long-term capital growth potential.
See our local area profile for Kirkwood for more lifestyle and development insights.
Barney Point – High Growth, High Yield
- Median house price: $390,125
- 12-month growth: 38.22%
- Median rent: $450/week
- Gross yield: 6.11%
- Owner-occupancy: ~46.3%
Barney Point offers the highest annual growth of any Gladstone suburb in 2025. While industrial surroundings may deter some buyers, yields above 6% and gentrification signs make it a compelling high-risk/high-reward option.
Honourable Mentions
These suburbs didn’t make the “top yield” list but still warrant attention for balanced investment:
- Tannum Sands – Beach lifestyle, high owner-occupancy, and strong community demand.
- Boyne Island – Riverfront appeal and tight rental supply.
- Calliope – Semi-rural charm with large blocks and strong growth.
Key Takeaways for 2025 Gladstone Investors
- Look for suburbs with both growth and yield — pure cash flow plays risk stagnation.
- Balance owner-occupancy rates with rental demand to minimise vacancies.
- Consider upcoming infrastructure projects that could shift demand.
- Use data-driven suburb profiling rather than relying solely on agent commentary.
- Contact us today if you need help with a home loan!
Sources:
- CoreLogic Regional Market Update 2025
- Australian Bureau of Statistics (ABS) 2021 Census
- Queensland Government Rental Market Data
- Your Investment Property Mag
- SQM Research rental vacancy rates
Frequently Asked Questions
Is Gladstone a good place to invest in 2025?
Yes. Gladstone combines strong rental yields, relatively low entry prices compared to other Queensland markets, and steady capital growth in key suburbs like South Gladstone, Clinton, and Kin Kora. The region’s diverse economy — from LNG to shipping — helps stabilise demand.
Which Gladstone suburb has the highest rental yield in 2025?
Barney Point leads with a gross rental yield of 6.11% for houses, according to CoreLogic 2025 data. It’s also posted over 38% year-on-year growth, though investors should weigh industrial proximity against returns.
What suburb in Gladstone has grown the most in the last 12 months?
Barney Point has seen the highest annual growth at 38.22%, followed closely by South Gladstone at 37.68%. Both areas have shown a strong mix of investor and owner-occupier demand.
Is it better to buy a house or unit in Gladstone?
Houses dominate the market, but certain suburbs like South Gladstone and West Gladstone have unit yields above 6%, making them attractive for cash flow investors who prefer lower entry prices.
What are the safest suburbs in Gladstone for long-term growth?
Clinton, Kin Kora, and Tannum Sands offer high owner-occupancy, good amenities, and consistent growth, making them safer bets for buy-and-hold investors.
