Rent Growth Continues

Rents are continuing to grow across Australia’s capital cities, with house rents across the combined capital house markets up by $20 per week in the June quarter.

Domain data shows that at the same time unit rents rose by $5 per week and says the increases are higher than the expected “seasonal norms”.

Sydney recorded the highest increase in the quarter with its house rents up by $50 per week, Darwin is up by $40 per week and Brisbane is up by $10 per week.

Adelaide and Canberra are up $10 per week, Melbourne and Hobart, $5 and Perth, $2.

Domain chief retail economist Nicola Powell says that renters are “operating in a landlord’s market”.

She says some landlords moved quickly to lift asking rents following Federal Budget changes around housing investment.

“The real test will come in the months and years ahead as investors adjust to the new policy environment and those decisions begin to flow through to housing availability and rental conditions.”