The number of rental listings has reached an all-time low
The scarcity of available homes for sale is causing a surge in rental prices in major cities, adding to the strain on individuals searching for housing amidst a wave of increasing migration.
In September, new rental listings dropped by 5.7% compared to the previous year, representing the lowest number of new rentals during this time of year in over a decade, according to research firm PropTrack.
PropTrack also reported that the national rental vacancy rate hit a record low of 1.1%, down from 1.3% a year ago. With fewer properties being listed, the number of rental listings reached an all-time low, declining by 7.1% year-on-year, according to a report by The Australian.
The limited supply, coupled with high demand, is driving rent prices upward. According to realestate.com.au, the national median weekly advertised rent at the end of the September quarter was $550, marking a 3.8% increase over the quarter and a 14.6% increase over the year.
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“The rental market remains extremely challenged, with renters facing significant competition for the limited stock available for rent,” PropTrack economic research director Cameron Kusher (pictured above) told The Australian. “These conditions have pushed the cost of renting much higher over the past year.”
The impact of these rising prices is being felt most strongly in select capitals and economically active regions, The Australian reported. Sydney experienced the largest increase in advertised rents over the past year, rising by 18.2%, followed by regional Western Australia (16.7%) and Perth (14.9%). In contrast, rents in Hobart and Canberra remained unchanged.
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