In good news for landlords, vacancy rates are falling and rents are increasing in most markets across the nation. Fresh research by SQM Research shows that, at 2.1%, the national vacancy average is tighter than the December 2019 rate of 2.5% and slightly lower than a year ago when it was 2.2%. The figures suggest most major markets have a shortage of homes available for renting.
All cities recorded decreases in vacancy rates in January, except Hobart which remained steady at 0.6%, the lowest of all capital cities.
Adelaide (1%) and Canberra (1.4%) have very tight rental markets, while Perth, Brisbane and Melbourne all have vacancy rates a little above 2%. Darwin recorded the highest vacancy rate at 3.2% followed by Sydney at 3.1%.
Over the last 12 months, the capital city average for house rents has increased 1.6%. In this time, rents for both houses and units have increased in Melbourne, Brisbane, Perth, Adelaide and Hobart. However, rent for both houses and units in Sydney and Darwin remain lower than they were a year ago.