$159,500

This property, listed at $159,500 in Ultimo, stands out significantly from the majority of comparable properties due to its exceptionally low price point. Most comparables are 2-3 bedroom apartments ranging from $900,000 to over $2 million, indicating this is likely a studio or a very small 1-bedroom student accommodation type unit. The relevant comparables are those priced under $200,000 (comparables 4, 5, 7). These comparables are priced at $195,000, $169,900 (1 bed, 1 bath), and $199,000 (1 bed, 1 bath), with estimated rents ranging from $350/wk to $390/wk. Given that this property is priced at $159,500, which is at the lower end of this specific micro-market segment, it appears to be undervalued within its niche. My estimated weekly rental income is $370, based on comparable 5 ($169,900, 1bed, 1bath, est. rent $380/wk) and comparable 7 ($199,000, 1bed, 1bath, est. rent $390/wk). Given the lower asking price of the subject property, a slightly conservative estimate of $370/week is appropriate. This yields an impressive gross annual rental yield of 12.06% ($370 * 52 / $159,500 * 100). The key investment strength is the exceptional rental yield, driven by the low purchase price in a high-demand rental area like Ultimo, particularly for student accommodation or compact city living. The property's market position suggests it caters to a specific buyer and renter demographic seeking affordability in a prime location. Potential risks include the likely small size and potentially limited capital growth compared to larger apartments, as well as the specific market demand for such units. The lack of bedroom/bathroom/parking details for the subject property introduces some uncertainty, but the price strongly suggests a studio or 1-bedroom unit. The flip potential is moderate; while the low entry price is appealing, significant renovation potential might be limited given the likely compact nature of the unit, and the profit margin would depend heavily on the initial condition and renovation costs. My confidence level in the rental estimate is moderate-high, as it is directly informed by very similar recent rental data for properties in the same price bracket. The recommendation is to investigate the unit's exact size, condition, and strata fees. If these align, it presents a strong cash-flow positive investment opportunity for a specific investor profile.