Rental prices are at record highs, and some say Australia is facing a rental crisis.
For February, SQM Research reported that Melbourne’s asking rents went up by 1 percent for houses, reaching $548 a week, and 2 percent for units, reaching $395.
The average rents in the city have risen by 6.5% and 5.9%, respectively, compared to February 2021.
The competition for rental properties across Melbourne is expected to increase even further, as the city continues to attract migrants and international students.
Perth and Sydney are also among the capital cities suffering rental shortages, with Sydney recording a weekly asking rent of $775 and Perth experiencing 0% vacancy rates in several of it’s suburbs.
Despite these record highs, Melbourne still remains to be the cheapest capital city in Australia to rent a home according to Dr Nicola Powell, Chief of Research and Economics at Domain.
An increase in rental yields will enable investors to increase returns, decrease their personal debt, and increase their borrowing capacity for making more property investments.
Be sure to keep an eye out for more information on the Australian rental property market, or contact us to book in a free consultation here.