If you’ve ever tried finding a rental near a major university in Australia during semester intake—you’ll know the scramble is real.
And in 2025, it’s not getting any easier.
We’re seeing parents buying units outright for their kids. Locals snapping up dual-key apartments to rent to multiple students. And investors overseas? They’re calling us, trying to get in before vacancy rates drop even further.
Here’s the thing: buying real estate in Australia near high-density student precincts isn’t just about a good yield. It’s about stability, forward demand, and having an asset that never goes out of style.
Let us explain why.
What’s New in 2025: Australia’s Tighter Student Visa Cap
This year, the Australian government rolled out a student visa ceiling for the first time ever. Capped at 270,000 new arrivals, the policy is aimed at controlling housing demand—but it’s having some interesting side effects:
1. Not less demand—just more competition
Fewer visas doesn’t mean fewer students. It just means those who do get in are financially stronger, have plans to stay longer, and are likely backed by family wealth or PR pathways.
2. University cities are prioritising housing
Some institutions in Melbourne and Brisbane are developing new partnerships to encourage off-campus rentals. This opens the door for private landlords to serve that market—especially with high-spec units and new builds.
3. International parents are buying early
We’re seeing parents purchase properties 2–3 years ahead of their child’s university start date—securing a location now and renting it out until then. Smart move.
What Makes Student-Centric Real Estate in Australia So Investable?
Not all student housing is created equal. And we don’t just mean purpose-built accommodation.
Cilla’s take?
“Students don’t just want a room—they want a lifestyle. Something walkable, connected, near a café. And the ones who can afford international tuition? Their families want security.”
Here’s what makes the right property near a uni so investable:
Consistent tenant demand
Semester cycles = predictable tenancy turnover, with thousands of renters competing for small pockets of housing each intake.
Dual appeal
A 2-bed apartment in Carlton, Melbourne might house students now—but post-graduation? A young professional couple will pay premium rent for that same space.
Low vacancy insurance
Units walking distance from uni campuses often have 1–2% vacancy, even during down markets.
Rentvesting demand
Young Australians who can’t buy where they want to live are now renting where they want and buying where they can afford. Guess where they’re still happy to rent? Near unis, parks, cafés and transport.
Our 2025 City Picks (That Aren’t Just the Obvious)
You’ve heard of Sydney and Melbourne. But let’s zoom into specific suburbs and districts where PropertyNXT is helping clients invest now.
Canberra – More Than Just Politicians
- The ANU (Australian National University) is a global top-30 institution
- Government contracts draw mature student populations (postgrad, international)
- Strong appeal to student-turned-residents pursuing PR
- Bonus? No foreign buyer stamp duty in Canberra
We helped a Singaporean family secure a 2-bed unit here that they’ll rent out until their son starts school in 2027. In the meantime? It’s earning a 4.1% yield and hasn’t sat vacant once.
See how to invest in Canberra →
Melbourne (Carlton, Parkville, Brunswick East)
- University of Melbourne + RMIT = 100K+ student population
- High-density public transport access + café culture
- Unit prices holding steady, with rising rent caps
- Airbnb rules in inner-city means more properties returning to long-term rentals—great for stable investors
A lot of Singapore-based buyers we work with are buying small-footprint, dual-key apartments here—renting one side to students and the other to young professionals.
Brisbane (St Lucia, Kelvin Grove, Woolloongabba)
- University of Queensland + QUT
- Vacancy rates under 1% in 2024 and projected to hold in 2025
- 2032 Olympics still drawing infrastructure money into the city
- Suburbs offer house-share potential for 3–4 tenants
We’re currently advising a client on a townhouse near UQ—three bedrooms, two baths, and a 6% yield with shared tenancy. Fully tenanted within 4 days of settlement.
What Kind of Property Works Best?
Student-friendly doesn’t mean “student-grade.”
Luke puts it like this:
“It’s about finding a property a student would rent—and a graduate would love to live in.”
- 2-bed apartments with secure entrances and internal laundries
- Townhouses near transport nodes with multiple bathrooms
- Dual-key or co-living layouts in premium suburbs
- Properties within 15 minutes’ walk of campus or a tram line
Bonus tip? Stick to buildings under 10 years old, or new builds, to reduce maintenance and avoid special levies.
Strategy Tip: Think Beyond the Tenants
Student property isn’t just a short-term rental play. It’s a long-term capital asset in a location that typically improves over time.
And for overseas buying property in Australia, this is where we make a real difference—helping clients consider:
- PR eligibility through property location
- Owner-use pathways if children study there later
- Rentvesting opportunities if you’re living in Singapore but want Aussie exposure
- How to exit in 5–10 years with healthy gains and tenant history
“I Don’t Want the Hassle.”You shouldn’t have it.
At PropertyNXT, we help overseas buyers navigate every detail—from legal compliance to finding the right property manager.
And because we understand real estate in Australia from both sides (as investors and agents), we can help you avoid the common traps and make informed, human-first decisions.
Let’s Build Something Together
At PropertyNXT, we’re more than agents — we’re your partners in building long-term wealth. Whether you’re buying your first overseas property or adding to a growing portfolio, Cilla & Luke are here to guide you every step of the way.
