Why rents are rising in many parts of Australia
Rental listings have fallen in seven of Australia’s capital cities compared to the start of the pandemic, according to realestate.com.au.
The portal has reported that the number of rental properties across Australia was 31% lower in July 2022 than March 2020.
Listings declined in every capital city except Canberra:
- Darwin down 54% (between March 2020 and July 2022)
- Brisbane down 42%
- Perth down 42%
- Adelaide down 38%
- Sydney down 30%
- Hobart down 25%
- Melbourne down 8%
- Canberra up 33%
Amazingly, rental listings declined even more in regional locations, ranging from a 25% reduction in regional Victoria to a 63% reduction in regional Western Australia.
Unsurprisingly, the fall in rental listings has led to:
- An increase in the number of potential renters per listing
- A decrease in days on market
- An increase in rental rates
“As rental price pressures continue in the period ahead, this could increase the attractiveness of buying for some current tenants,” REA Group senior economist Eleanor Creagh said.
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