This article is from the Australian Property Journal archive
THE median asking rental price across most capital cities was flat in the June quarter with the trend expected to continue in the second half of the year, according to Australian Property Monitors’ Rental Price Series Quarterly Report.
APM found the median asking rents for houses fell by -0.2% whilst unit rental prices rose marginally by +0.3% in the quarter.
Canberra was the only capital city to record an increase in both house and unit rental prices, and is the third most expensive rental market in the country with the median weekly asking rent for houses at $475 and $435 for units.
Sydney and Darwin also recorded increases in median asking rents for houses, however unit rents were flat. Sydney house prices rose 1% to $490 and Darwin by 8% to $540.
In Melbourne, rental prices for houses fell by -1.4% to $360.
Adelaide and Perth’s house rental prices were flat at $340 and $380 respectively.
Brisbane saw the strongest increase in median asking rent for units, rising +2.9% to $360, which may reflect increased competition for properties as a consequence of the reconstruction initiative.
APM’s senior economist Dr Andrew Wilson said despite signs earlier this year pointing to a tough time ahead for renters, the reduction in buyer activity – particularly from first home buyers, has not resulted in a significant increase in rental prices.
“It also appears landlords may have taken a conservative attitude to rental increases in the second quarter of the year as concerns over household cost of living, notably utility costs, continue to linger.
“The good news for renters is the flat growth in rental prices will continue in most capital cities, as an expected increase in buyer activity will take the pressure off the rental market by decreasing competition for available rental properties and motivating investors to re-enter the market,” he predicted.
Australian Property Journal
