Long-term Townsville local and healthcare worker, Jobichan Vargheese, has taken his first step into property investment, securing land at Somers & Hervey, a growing residential community in the heart of Townsville’s high-demand property market.
Having lived in Townsville’s suburb of Douglas for the past eight years, Jobichan (“Jo”) has seen first-hand the city’s rapid growth and increasing property values. After building his family home in Douglas in 2021, Jo and his wife have now set their sights on the future, purchasing a block of land at Somers & Hervey with plans to build their first investment property.
“Townsville is a growing city and there are so many opportunities here for investors,” Jo said.
“When I built my home a few years ago in Townsville, it was valued at around $660,000. Now it’s worth close to $1 million. That gave me confidence that investing here was the right decision for us.”
Jo and his wife, who both work at Townsville University Hospital, considered purchasing an investment property in larger markets like Brisbane or Melbourne but ultimately chose to stay local.
“I was considering buying in Brisbane or Melbourne at first, but after talking to friends, builders and property brokers, I could see the opportunity was right here in Townsville,” Jo said.
“The value of my own home has increased significantly in just a few years, and with the university, hospital, and growing population nearby, Somers & Hervey is in a prime position for strong rental demand and capital growth.”
Factors like population growth, infrastructure investment, strong rental demand and proximity to key employment hubs like the hospital and university were all deciding factors.
“Townsville has the lifestyle benefits of a quiet, spacious city but also offers all the essentials like jobs, education, healthcare, and future development,” Jo said.
“There are many people moving here, especially for work, and demand for rentals is very strong. I know so many families, particularly from my own community, who are relocating to Townsville for the opportunities here.”
Jo’s investment plans come at a time when Townsville is experiencing strong rental yields and market demand, with vacancy rates remaining low and housing supply under pressure. Coupled with major infrastructure investment, employment opportunities, and its enviable tropical lifestyle, the region is increasingly attracting both residents and investors.
Urbex Realty General Manager Craig Covacich said Jo’s story reflected a broader trend of local buyers backing the Townsville market given the region’s affordability, low rental vacancy rates, attractive rental yields.
“We’re seeing a growing number of first-time investors like Jobichan who recognise the long-term potential of Townsville, not only as a place to live, but as a place to invest,” Craig said.
“Townsville continues to offer excellent value compared to our capital city markets, offering some of the strongest rental yields in Queensland.”
In 2025, Townsville’s rental yields are generally above 5 per cent, well above the national average of 3.5 per cent with regional areas like Townsville and Ipswich showing over 5 per cent rental yields.
Nationally, gross rental yields have been fluctuating, but they are typically around 3.5 per cent for capital cities and 4.4 per cent for regional areas, as reported by CoreLogic.
Craig says sales momentum at Somers & Hervey remained strong, underpinned by a balanced purchaser profile of both owner-occupiers and investors.
Somers & Hervey, located just minutes from Jo’s existing home in Douglas, is ideally positioned to meet this demand, offering residents a connected, convenient lifestyle close to employment, education, and leisure destinations.
As Townsville’s population continues to grow, Jo believes that investing locally offers both lifestyle advantages and long-term financial reward. With the land expected to title in September 2025, he plans to begin construction soon after.
“This is just the beginning for us. We’re taking it step by step, but if this investment goes well, we’ll definitely look at expanding our investment portfolio in the future,” Jo said.
“I think Townsville is one of the best places to live and invest. You have a growing city, a relaxed lifestyle, and so many beautiful destinations nearby like Cairns, Airlie Beach, and the Great Barrier Reef. For us, it made sense to invest right here at home.”
Nestled between Mount Stuart and The Pinnacles, Somers & Hervey boasts seamless connectivity with the addition of a new on-ramp from Beck Drive to the Ring Road, bridging residents to essential amenities, including James Cook University, Townsville Hospital, and Lavarack Barracks. Somers & Hervey’s central location is very popular, from a six-minute drive away from quality schools, childcare facilities, shops and dining opportunities to just under a 30-minute commute to Townsville’s city centre.
Interested buyers are encouraged to register their interest or visit https://somersandhervey.com.au/ for more information.
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