Rental market conditions have eased the most since November 2020, but weekly rents are expected to continue rising.
According to PropTrack’s Market Insights report, capital city vacancy rates increased 0.17 per cent in the June quarter.
“This is the most significant easing in rental market conditions since early in the pandemic in November 2020,” PropTrack Senior Economist Paul Ryan said.
In June alone, rental vacancy rates climbed marginally, up 0.02 per cent to 1.45 per cent nationally.
The combined capital cities have a vacancy rate of 1.42 per cent, while regionally conditions are a little better at 1.54 per cent.
Sydney has continued to see easing rental market conditions, with rental vacancy rates up 0.05 per cent in June and 0.28 per cent over the past three months.
“Higher rental vacancy rates are good news for renters and reflect more rental properties coming to market,” Mr Ryan said.
“However, the rental vacancy rate remains half the level seen before the pandemic.”
Rental market conditions have eased the most in Hobart and Canberra, with the vacancy rate increasing 0.51 per cent and 0.29 per cent respectively.
The ACT has the highest vacancy rate of all the capital cities at 2.1 per cent, while Hobart’s vacancy rate sits at 1.87 per cent.
Melbourne rental markets have also continued to stabilise over the past few months. Even so, the level of available properties is just 1.40 per cent.
Adelaide and Perth continue to see the tightest rental market conditions with the fewest available rental properties.
Adelaide’s vacancy rate climbed just 0.02 per cent in June and 0.06 per cent for the quarter to sit at 0.94 per cent.
Perth performed marginally better, with a 0.03 percent increase to its vacancy rate in June, to sit at 1.02 per cent.
Darwin saw a 0.13 per cent in the vacancy rate, but remains 0.21 per cent down for the June quarter, with a vacancy rate of 1.63 per cent.
Brisbane is the only capital still showing worsening rental market conditions, with vacancy rates falling 0.08 per cent to 1.12 per cent in June.
“Slowing rental demand has resulted in more rental properties being available for lease,” Mr Ryan said.
“But despite the improvements, rental vacancy rates remain low – around half the levels seen before the pandemic – and demand is easing, but still strong.
“It remains difficult to find a rental across the country and we expect rents to continue to grow quickly, placing additional financial pressure on renters.”
