Australia’s vacancy rate fell to a record-low 0.9% in July, according to Domain.
So for every 100 rental properties, less than one was vacant in July – an incredibly low share.
The vacancy rate is low in every capital city:
- Adelaide = 0.2% (record-low)
- Perth = 0.5% (record-low)
- Hobart = 0.5%
- Brisbane = 0.6% (record-low)
- Darwin = 0.6%
- Canberra = 0.8%
- Sydney = 1.3% (record-low)
- Melbourne = 1.4%
As a result, the rental market strongly favours landlords, Domain said. “This means tenants are likely to face further increases in asking rent.”
Property investors enjoying big rental increases
SQM Research data supports Domain’s forecast.
SQM reported that national asking rents jumped a remarkable 13.6% in the year to 12 August 2022.
The capital city breakdown was:
- Brisbane = 20.7% increase in asking rents
- Sydney = 19.5%
- Adelaide = 18.1%
- Melbourne = 17.3%
- Perth = 12.4%
- Hobart = 9.6%
- Canberra = 9.0%
- Darwin = 8.5%
As you can see, many property investors are experiencing large increases in their rental income. If you’d like to buy an investment property, get in touch and I’ll help you organise a home loan