Vacancies Ease – Slightly

Vacancy rates have eased in the past month – but the change is so minimal that would-be tenants will still struggle in many markets.

Figures from SQM Research show that the national vacancy rate rose from 1.2% in May to 1.3% in June. That increase equates to only an additional 1,385 rental properties nationally.

SQM Research managing director Louis Christopher says despite the small improvement, vacancy rates remain well below long-term averages.

The smaller capital cities all had vacancy rates below 1%, led by Darwin which is the tightest rental market with a vacancy rate of just 0.3% – or about 64 properties available for rent.

Perth and Hobart are both 0.6% (1,247 and 185 vacancies respectively), Adelaide is 0.7% (1,096 vacancies) and Brisbane 0.9% (3,065 vacancies).

Sydney, with a vacancy rate of 1.6%, has the largest number of vacant properties – 11,957 – while Melbourne has 8,640 properties and a vacancy rate of 1.6% and Canberra has a vacancy rate of 1.7% (1,063 properties).

“While the national vacancy rate has edged up to 1.3%, Australia’s rental market remains exceptionally tight by historical standards,” Christopher says.