An investment with a strong yield will generally be one that generates rental returns in excess of 7.5% gross. A property’s potential to achieve high yields will be affected by a range of factors, namely demand, location and desirability. Properties in prime tourist regions, popular expatriate cities or in markets where locals are priced out of the buying market will do especially well.
Developments that offer guaranteed rental yields are often a good means of assuring a steady return as are fully managed properties where all rents are pooled and distributed according to unit size and price.