PropTrack has released its Rental Report for the June quarter, which shows the “national rental market remains extremely tight”.
“At the end of June 2023, the median weekly advertised rent had increased by 11.8% over the year to reach $520 per week”.
“Capital city rents rose 5.8% over the quarter and 17% over the year”:
“Rents continue to climb rapidly in the capital cities, with growth accelerating most noticeably in Melbourne”.
“It is expected that major capital city rental markets will continue to see rent prices rise over the coming months”.
“The strength in demand in the major capital cities is being driven by low first-home buyer activity and high migration, as well as the ongoing low supply of stock becoming available for rent”.
“The number of new rental listings in June 2023 was 1.3% higher than at the same time last year. Capital city new listings in June 2023 were 3% lower than a year earlier, while in regional markets they were 15% higher”.
“Compared to their June five -year average, new listings throughout the capital cities were 9.2% lower, while regionally they were 5.4% higher”:
“Compared to their June five-year average, new rental listings recorded their largest falls in Melbourne (-11.8%), Perth (-10.9%) and Brisbane (-10.5%). The greatest increases were in Hobart (37.1%), Canberra (27.7%) and regional Tasmania (25%)”.
“Capital city total rental listings were 8.8% lower over the year in June 2023, 23% lower than the June average over the past five years. However, in regional areas total listings were 20.5% higher than a year ago. Despite the increase they were still 3.5% below their June five-year average”:
“Relative to longer-term averages, the volume of stock advertised for rent remains extremely low in capital cities and moderately lower regionally”.
“It is expected that supply will drift higher across regional areas over the coming months, while the volume of stock for rent is anticipated to remain low in capital cities, particularly the major capital cities”:
“The rental vacancy rate has risen slightly from its recent low of 1.3% in March 2023. However, it remains very low at 1.5% in June 2023, down 1.6% from a year earlier”.
“The combined capital city rental vacancy rate in June 2023 was 1.4%, up from 1.3% in March 2023. Even so, the rental vacancy rate is down from 1.8% at the same time last year”.
“Across the combined regional markets, the rental vacancy rate has increased from 1.2% in June 2022, to 1.5% in March 2023, the same as it is in June 2023”.
“Over the past year, rental vacancy rates have fallen in Sydney (2.1% vs 1.7%), Melbourne (2.2% vs 1.4%), Brisbane (1.4% vs 1.1%) and Perth (1.2% vs 1%) while they have increased elsewhere”.
PropTrack notes that “the rapid rebound in the number of people arriving in Australia” continues to challenge the rental market.
“Over the 2022 calendar year, the population of Australia increased by 1.9% or 496,756 people. This represents the fastest rate of population growth since September 2009 and the largest 12-month increase in population on record”.
“From a housing perspective, most people arriving in the country, at least initially, will require rental housing, creating more competition for available properties”.
Running a record immigration program into a housing crisis is the height of policy idiocy.
Australians have never supported immigration at such extreme levels.
The ultimate result of the Albanese Government’s reckless immigration will be continued rapid rental price inflation, financial hardship, and increased homelessness.
