They are now 10.3% higher compared to 12 months ago across Australia's capital cities
The median weekly rent for dwellings in Australia’s capital cities rose by 3.2% to $640 in the three months ending June, following a 4.2% increase in the March quarter.
Latest market insight from PropTrack showed even stronger rental growth in regional areas, which posted a 3.9% increase in the same period, pushing the median weekly rent to $540.
Rents are now 10.3% higher than a year ago in capital cities and 8% higher in regional areas.
Units have seen greater rent increases than houses, both quarterly and annually, narrowing the rental price gap between the two. In capital cities, houses now have only a $30 premium over units.
Perth recorded the highest rent growth among capital cities over the past year at 18.2%, driven by a shortage of rental properties. Adelaide (11.8%) and Melbourne (10.6%) also saw significant increases.
In regional areas, Queensland experienced the sharpest rise in advertised rents, making it the most expensive regional market with a median weekly rent of $620.
“The cost of renting an apartment climbed across Australia’s capital city and regional areas over the June quarter, as persistently low vacancies and population growth drove demand for rental properties higher,” said Anne Flaherty (pictured above), senior economist at PropTrack.
“Sydney remains the most expensive capital city to rent a home, with the median advertised rent rising 2.8% over the quarter and 8.8% year-on-year to reach $740 per week. Over the past decade, Perth has transitioned from being the most affordable capital city to rent to the second most expensive behind Sydney, with the median advertised rent hitting $650 per week in June.
“Conditions for renters deteriorated further over the June quarter, with six of the eight capital cities experiencing rent growth. Hobart and Darwin were the only cities which saw rents decline over the quarter, however they remain higher compared to 12 months ago.”
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