Property investors reap mining rewards

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Property investors continue to reap rewards from the resources industry, with mining towns accounting for the top ten rental yields in the country.

An RP Data survey shows some of the highest rental housing demand exists in the Pilbara region of Western Australia, with the iron ore hotspots of Newman, Port Hedland and South Hedland among the top five towns nationally.

The top spot for rental yield is Newman, where houses brought in returns of 14 per cent in September, followed by Miles in Queensland at 10 per cent and South Hedland at 9.5 per cent.

However the September survey, which is based on gross estimated value rental yield, included some towns with small numbers of rental properties.

Kambalda in the goldfields of Western Australia and the iron ore hub of Port Hedland were ranked the fourth and fifth highest yielding housing markets respectively.

Around the nation, rental yields have varied between three to six per cent in 2013.