Australia

Rental properties: Report shows record low availability of cheaper rental properties in Australia

A new report highlights the dire situation for rentals in Australia as the number of affordable rental properties has halved since the start of the pandemic.

A PropTrack Market Insights report reveals that the share of rental properties available for less than $400 a week has fallen from 41.8% at the start of the pandemic to just 19.3% this month.

The report analyzed the number of rental properties advertised on realestate.com.au and concluded that there is a nationwide shortage of rental properties.

According to Cameron Kusher, the report’s author, the data shows that the number of properties rented for less than $400 a week has fallen to historic lows.

“There is an overabundance of demand for rental accommodation and there is not enough supply in the market at the moment,” said Proptruck’s director of economic research.

“This has reduced the number of listings under $400 per week to record lows.”

Naturally, renting in the capital turned out to be more difficult than in the provinces.

The number of rental housing available for less than $400 a week has fallen by more than half from pre-pandemic levels in capital cities across the country.

Only 16.4% of listings are under $400 per week, and no city has more than a quarter of affordable rentals.

The rent crisis is worst in ACT, Hobart and Darwin, with less than 10% of properties under $400 per week.

In Sydney, the number of affordable rentals has halved in just one year.

In rural areas, rental properties under $400 have also halved since the pandemic began.

“It’s clear that there is a serious problem in the rental market right now,” said Kusher.

“Especially for low-income people, it will become increasingly difficult to find rental housing as the supply of relatively cheap inventory has decreased significantly.

“There are no real signs that it will end anytime soon.”

All signs point to a growing shortage of cheaper rental properties before things start to improve, according to the director of economic research.

Increased migration and low levels of home purchases from first-time homebuyers are intensifying competition for a decline in affordable rental housing.

Unfortunately for renters, there are no quick fixes to the problems that are hurting rental supply.

“It’s not good news for people looking to rent,” Kusher said.

first published as ‘Not so good news’ shocking report for renters with property vacancies at record lows

Rental properties: Report shows record low availability of cheaper rental properties in Australia

Source link Rental properties: Report shows record low availability of cheaper rental properties in Australia

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