Gold Coast Rents Up 32pc in Tight Vacancies Market by TARYN PARIS
Low vacancy rates across the Gold Coast have spurred landlords to demand higher rents.
Asking rents have soared by 32 per cent during the past 12 months to an average of $744 a week for houses, and a 14 per cent increase to unit rental prices, up to an average of $515 a week, according to SQM Research data.
SQM Research managing director Louis Christopher said the tightening rental market trend was likely to continue in the lifestyle regions.
“We are seeing a surge in rents as vacancies drop on the Gold Coast and on the NSW North Coast … as people migrate out of the capital cities and move to regional and warmer locations,” he said.
“On the Gold Coast asking rents have soared by 32 per cent for houses and 14 per cent for units during the year.”
Nationally the residential rental vacancy rate dropped to 1.9 per cent in April from 2.1 per cent in March which SQM Research managing director Louis Christopher said was surprising.
“The fall in national vacancies is surprising given there has been record first home buyer activity and strong dwelling completions relative to the population expansion,” Christopher said.
“Demand for rental accommodations is still outstripping supply, which has the effect of boosting rents in many locations (making it) unaffordable to lower-income tenants.”
Christopher said along with other smaller capital cities, Brisbane’s vacancy rate had also become “extremely tight” and renters should expect a surge in rental asking prices.
“Suburban vacancy rates continue to fall and that is now encompassing inner-suburban regions,” he said.
“In contrast, rates for Melbourne and Sydney CBDs remain elevated with the loss of international student tenants combined with apartment oversupply.
“These were just about the only areas recording rises in vacancy rates.”
Perth and Darwin have also experienced a bump in rental asking prices thanks to the commodities boom.