#1 – It was a better deal than comparable properties

To be considered a good investment, a property must offer a competitive price compared to others on the market. Here's how Colwill Road stacked up against two similar developments in Auckland at the time:

• Impatiens Lane: $90,000 more expensive than Colwill Road, despite similarities.
• Lawson Creek: $60,000 cheaper than Colwill Road, but significantly smaller (2 bedrooms, 90m2 floorplan).

Colwill Road emerged as the more affordable 3-bedroom option, even though Impatiens Lane offered 45m2 more space.

#2 – It had the highest gross yield

To gauge investment potential, we consider the gross yield, a widely-used metric that measures rent income compared to property value.

• Colwill Road: Had the highest gross yield at 4.82%
• Impatiens Lane: Followed with a yield of 4.14%.
• Lawson Creek: Lagged behind with a yield of just 4.07%.

Interestingly, the varied rental incomes among these properties, despite their proximity in the same suburb, reflected the importance of location in Auckland. 

Colwill Road's prime location contributed to its higher yield.

This example demonstrates that the cheapest property isn't necessarily the best investment.