CoreLogic has released its Quarterly Rental Review, which reveals that rents are rising at their fastest pace since the Global Financial Crisis hit in 2008:
Growth in rental rates has eased slightly, with the national rental index rising by 1.9% over the September quarter compared to a 2.1% rise over the June quarter. While we have seen some easing in rental growth, national rental rates are 8.9% higher year-on-year which is the highest annual growth in dwelling rents since July 2008.
Regional rents are rising faster than capital city rents, with regional dwelling rents up 2.2% over the September quarter (down from 2.7% in the previous quarter), while capital city dwelling rents increased by 1.7% over the latest quarter (down from 1.9% over the June quarter). Regional Australia recorded an annual rate of rental growth of 12.5% in September 2021. This is the highest annual growth result on record, with the CoreLogic rental index commencing from 2005. In comparison, the combined capital cities recorded annual rental growth of 7.5% over the same period, the highest annual growth rate for the combined capitals since January 2009.
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Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness.
Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.
