With dwelling prices in Australia’s major cities continuing to rise, an increasing number of investors are now setting their sights on more affordable regional markets, such as North Queensland, where rapid development and population growth are driving high rental demand and opportunities for capital growth. 

Townsville, the fast-growing regional city in North Queensland, has shown huge growth in sales and rental figures over the past five years since 2020 -  the city’s median dwelling price has increased by 80.89% from $335,000 in June 2020 to $606,000 in June 2025. At the start of 2026, Townsville’s median house price was $695,000.

North Queensland’s property market 

In 2023, a study from CoreLogic revealed regional Queensland as one of the fastest-growing real estate markets in Australia, outperforming other NSW, VIC, and Tasmanian counterparts. 

The population of North Queensland is projected to grow to 442,330 by 2040. Employment opportunities, new infrastructure, and housing availability will drive local and international migration to the region. 

As of September 2024, the median house price in North Queensland is $714,000, 11.73% higher than the previous 12-month period.

6 Best North QLD suburbs for investment  

With North Queensland spanning 80,041.5 km² of land, it’s hard to know where to start. We’ve done the research for you — here are 6 of the best North QLD suburbs for investment. 

1. Burdell, 4818

15.8km west of the Townsville CBD, Burdell is a 13-minute drive to the city centre. Residential housing is in the south of the suburb - the northern part is mostly marshland that has yet to be developed. Within the suburban area are several parks, as well as a great selection of schools such as the Townsville Grammar School North Shore Campus. 

With a warm local community vibe and relatively affordable house prices that are seeing consistent growth, Burdell holds potential for investors looking for long term capital growth. 

Median house price: $667,500 in Jan 2026 (+17.5% over 12 months since January 2025) 

Median rental: $610 per week  in Jan 2026 (+8.9% over 12 months since January 2025)

Rental yield: 4.7%

Population: 8,201 (ABS, 2024)

Number of private dwellings: 2,655

2. Castle Hill, 4810

Castle Hill is in the heart of Townsville, just 3.7km from the city centre. Home to the iconic Castle Hill Lookout that offers panoramic views of the city at 900+ feet, the suburb is one of Townsville’s more exclusive. Discerning investors will be able to identify opportunities presented in Castle Hill despite the higher median house price of $1.4 million — its proximity to both the Townsville CBD and the bustling activity of the Strand make it an attractive option for mature professionals looking for city convenience in an up-and-coming regional city.  

Median house price: $1,400,000 in Jan 2026 (+7.7% over 12 months since January 2025)

Median rental: $935 per week in Jan 2026 (+16.9% over 12 months since January 2025)

Rental yield: 5.0%

Population: 6,339 (ABS, 2024) 

Number of private dwellings: 3,505

3. Bohle Plains, 4817

Bohle Plains is one of the newer suburbs in Townsville, approximately 17.7 km from the city centre. It is growing rapidly due to the Harris Crossing master-planned development. The opportunity here for investors is in the form of house and land packages — new homes that have incredible potential for returns once the development is completed and ready to house over 800 families. 

Median house price: $690,000 in Jan 2026 (+15.0% over 12 months since January 2025)

Median rental: $630 per week in Jan 2026 (+7.7% over 12 months since January 2025)

Rental yield: 4.6%

Population: 6,718 (ABS, 2024)

Number of private dwellings: 2,230

4. Garbutt, 4814

The suburb of Garbutt is residential in the east, industrial in the south, and houses the Townsville International Airport in the north. Less than 6km from Townsville CBD, Garbutt’s stands out due to how well-connected it is with the rest of the region. 

House prices in Garbutt are relatively affordable under the $600,000 mark, but are seeing quick growth as more residents and investors discover its value and potential for capital gains as Townsville continues to grow. 

Median house price: $565,000 in Jan 2026 (+18.0% over 12 months since January 2025) 

Median rental: $530 per week in Jan 2026 (+8.2% over 12 months since January 2025)

Rental yield: 4.9%

Population: 7,863 (ABS, 2024) 

Number of private dwellings: 1,255

5. Bushland Beach, 4818

Bushland Beach is a coastal suburb 22km from the Townsville CBD, and 7km from Deeragun, an outwestern suburb with plenty of amenities. With a beautiful local beach that stretches along the Coral Sea, Bushland Beach is Townsville’s only masterplanned beachside community, making it a highly sought-after location for residents who want the luxury of a home that’s close to the beach. 

Bushland Beach is also supported by a network of modern conveniences and amenities, including its own shopping centre and a local tavern for water activities like fishing and boating. 

Median house price: $755,000 in Jan 2026 (+22.5% over 12 months since January 2025) 

Median rental: $620 per week in Jan 2026 (+8.8% over 12 months since January 2025) 

Rental yield: 4.6%

Population: 7,274 (ABS, 2024)

Number of private dwellings: 2,375

6. Douglas, 4818

Douglas is home to a quiet suburban community, located 11.2km from the Townsville CBD. Bounded by the Ross River and the Mount Stuart Training Area, the suburb is experiencing a residential boom due to expansion projects at James Cook University. Douglas enjoys high rental demand from students of JCU, Townsville University Hospital staff, and young families.

House prices in Douglas have risen by 23.3% over the last 12 months since January 2025, indicating strong demand for housing.

Median house price: $670,000 in Jan 2026 (+23.3% over 12 months since January 2025)

Median rental: $580 per week in Jan 2026  (+5.5% over 12 months since January 2025) 

Rental yield: 4.5%

Population: 8,272 (ABS, 2024)

Number of private dwellings: 2,824

Invest in North Queensland with Keir Constructions

For investors looking for opportunities in North Queensland’s best suburbs for investment, it’s worthwhile looking at both existing and new builds for your new investment. 

As North Queensland’s leading builder, Keir Constructions can work with you to create a quality new home build for investment. View our collection of house and land packages in Townsville or get in touch with our team today to find out more about our new home build options.