Yahoo Finance $1,200 per week: 20 suburbs where rents are through the roof
Australia’s rental market is under pressure and it’s only expected to get worse now that border restrictions have eased.
Tales of hundreds of people showing up to a single open house may become more common, especially in these suburbs where landlords rule the market.
New research commissioned by Hood found the top 20 Australian rental markets where rents were likely to be increased at the next rental review.
Also read: Top 20 suburbs where rents AREN’T rising
Also read: NAB’s worrying rent price prediction
Also read: Top 20 suburbs to buy where prices are set to skyrocket
The research analysed rents and vacancy rates for every Australian suburb over the past 12 months.
In all the suburbs in the top-20 ranking, rents increased at least 32 per cent during the past year.
In addition, in most of the suburbs, vacancy rates were under 1 per cent – and, in some cases, actually at 0 per cent.
It should be noted that when a suburb has a vacancy rate of zero it doesn't mean there are literally no rental properties.
Rental properties are regarded as ‘officially’ vacant when they’ve been on the market for 21 days or more.
Of the 20 suburbs, 11 are in regional locations and nine are in the capital cities, while 14 are house markets and six are unit markets.
Hood founder and CEO Tommy Fraser said one big reason rents were likely to increase in these 20 suburbs was because demand was so high.
“Ever since the pandemic started, people have taken a greater interest in where they live, both in terms of the location and the type of property,” Fraser said.
“The interesting thing about these 20 suburbs is their diversity. There are metro waterside suburbs like Sorrento in Perth; sea-change locations like Paradise Point in Queensland; and tree-change locations like Invermay in Tasmania.”
Here are the top 20 suburbs where rents are sky high.
Rank | State | Suburb | Median Weekly Rent | Vacancy Rate |
1 | WA | Sorrento | $460 | 1.1% |
2 | WA | Mount Claremont | $650 | 0.9% |
3 | WA | Waterford | $600 | 0.0% |
4 | WA | Shelley | $450 | 1.3% |
5 | QLD | Doonan | $900 | 0.0% |
6 | QLD | Flaxton | $630 | 0.0% |
7 | NSW | Elanora Heights | $1,200 | 1.0% |
8 | NSW | Sussex Inlet | $415 | 0.6% |
9 | SA | Dulwich | $760 | 0.0% |
10 | QLD | Coolum Beach | $750 | 0.9% |
11 | NT | Wulagi | $570 | 0.0% |
12 | TAS | Invermay | $350 | 1.0% |
13 | NSW | Manly Vale | $1,200 | 1.1% |
14 | QLD | Paradise Point | $670 | 0.7% |
15 | NSW | North Avoca | $820 | 0.0% |
16 | NSW | Shoalhaven Heads | $630 | 0.0% |
17 | TAS | Deloraine | $450 | 0.7% |
18 | QLD | Calliope | $370 | 0.7% |
19 | ACT | Bonython | $660 | 0.5% |
20 | QLD | Allenstown | $330 | 0.4% |
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