The major issue when buying an apartment such as this is that most lenders have a minimum square meterage requirement of 50 square metres
This apartment is 30 square metres
Other restrictions lenders may have would be
serviced apartments,
apartments under lease back arrangements with periods greater than 12 months,
apartments where other parties have a sale on who you can sell to / when you can sell,
properties with restrictive covenants such as SP55's,
converted hotel / motels
properties with management agreements on title
There might be a lender who would be willing to lend on these, I believe CBA would be the only bank I know of who might consider such a property, but only if you have another property on a facility etc
The most likely buyer for properties such as these are cash buyers, or buyers who are using equity in other properties as security. IE a home owner who is drawing against the equity in their home and no bank will take security of the property being purchased
In times of a downturn, such a property would be harder to on sell, so you have to be prepared to take it on as a long term income producer. In that respect, the rent would be good and it would be a good investment.