NSW coast or country: Investment strategy?

We have about $450-500K to invest in a SMSF, no borrowings. I am 57, and seeking some cash flow to give up work!.
Plan 1: Buy a house in Dapto or Campbelltown area. Potential CP, , not far from Sutherland, where I live, for maintenance. Rental yield about 5%
Plan 2: Buy up to 3 houses (with no strata fees) for $150K each in 3 country towns: ( Orange, Goulburn and Leeton). CP trade off compared to coast or Sydney, but higher rental return. (Or, the third property perhaps in Adelaide, where 2 bed units within 5 kms of the CBD go for about $200K).
Any thoughts/feedback appreciated.
Think you might experience problems getting in to somewhere like Orange for sub $150K as an investor- lot of the homes in these areas have 7 yr owner occupier covenants on them... this means you have to occupy as a PPOR for this minimum period. Good luck with your search!
Maybe something like this might suit you - no strata, one lot of council rates i assume, one insurance policy


That one is interesting but all of the OP eggs in 1 basket is a bit risky for smsf I thinK if no borrowing and no other assets. Dapto or west Syd cashflow is lousy if you plan to quit and buy groceries with the rent.

I would aim for 2- 3 properties in more than 1 location with a strong focus in yield but the diversity reduces risk and also allows for separate sales later if you need your capital back.

You could set a benchmark like 6% minimum yield and still go for decent areas or raise the yield but then you have to chase smaller towns and riskier areas and you don't wan to go too far down that road if you really depend on that cashflow.