Surprise rent relief for Aussie tenants

Advertised rents in Aussie capital cities have fallen by the largest monthly percentage amount in four years, offering some reprieve to struggling renters in a tight market.

New figures from SQM Research reveal average rents in the capitals fell to $723 last month – marking a 0.5 per cent decrease over the past 30 days.

It’s the largest monthly decline since April 2020, during the beginnings of the Covid-19 pandemic.

The surprising turn is accompanied by predictions vacancy rates were due to rise over the winter period.

But managing director of SQM Research Louis Christopher said the country’s rental crisis was far from over.

“The full year outlook remains the same in that we expect overall tight vacancy rates to be with us for 2024, driven by a fall in dwelling completions relative to ongoing growing demand,” he said.

“Nevertheless, it might provide some minor relief to tenants who still have excessive difficulties in finding longer term rental accommodation around the country.”

SQM’s data reveals Sydney’s advertised rents drove the capital city decline, falling by 1.1 per cent to $844 a week.

Darwin recorded the largest dip at 6.3 per cent, with rents there falling to $566 a week.

Melbourne rents were unchanged at $635 a week, while Adelaide recorded a fast rental rise, as advertised rents jumped 2.1 per cent to $593.

The national median weekly asking rent for a dwelling is now $624 per week.

Sydney continues to have the highest weekly rent for a house at $1,050 per week, while Hobart offers the most affordable unit rents among the capital cities at $463 per week.

Vacancy rates in the NSW capital stand at 1.4 per cent – with 10,039 rental dwellings vacant.

That marks a rise of 1.2 per cent.

Melbourne also recorded an increase in its vacancy rate of 1.3 per cent from 1.1 per cent in April this year.

SQM’s research found the total number of rental vacancies Australia-wide stands at 35,641 residential properties, up from 33,177 vacancies recorded in April.