20 suburbs rents are set to rise: ‘Your landlord will hike’
It is getting increasingly difficult for Aussie renters to find affordable housing as prices continue to rise.
And suburbs once considered to be the cheaper alternative are now becoming few and far between, according to new research commissioned by HOOD.ai.
The research found the top 20 locations where landlords were likely to push up rents at the next rental review.
The quarterly HOOD.ai Tenant Report identified the top 20 suburbs in Australia where landlords held a clear advantage over tenants and where that power had increased over the past year.
The research was done by analysing rents and vacancy rates for every suburb in Australia during a 12-month period.
In all the suburbs on the top-20 ranking, rents increased at least 33 per cent during the past 12 months.
Furthermore, in all these 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 0 per cent, that doesn’t mean the suburb literally has no vacant rental properties.
Rental properties are regarded as ‘officially’ vacant when they’ve been on the market for 21 days or more.
When a suburb has a vacancy rate of 0 per cent, it means all rental properties are being filled in fewer than 21 days of being listed for rent.
HOOD.ai founder and CEO Tommy Fraser said the report highlighted the issue of rental affordability.
“Vacancy rates are low in many parts of Australia, and often falling as well, which is putting upward pressure on rents,” he said.
“Traditionally, when renters get priced out of an area, they tend to shift to a cheaper suburb nearby, but that’s become increasingly hard in the current market, which is forcing tenants to move even further in search of affordable accommodation.
“If you live in any of the suburbs mentioned in this report, take note, because there’s a strong chance your landlord will increase your rent at the next rental review.”
Top 20 suburbs where rents are rising
Rank | State | Suburb | Postcode | Property type | Median weekly rent | Annual rental increase | Vacancy rate |
1 | NSW | Bogangar | 2488 | Unit | $650 | 52.9% | 0.5% |
2 | QLD | Burrum Heads | 4659 | House | $500 | 51.5% | 0.9% |
3 | QLD | Avoca | 4670 | Unit | $330 | 50% | 0.4% |
4 | NSW | Hastings Point | 2489 | Unit | $650 | 47.7% | 0% |
5 | QLD | Paradise Point | 4216 | House | $745 | 47.5% | 0.7% |
6 | WA | Leeming | 6149 | Unit | $450 | 45.2% | 0.4% |
7 | NSW | Tarrawanna | 2518 | House | $750 | 44.2% | 0% |
8 | NSW | Colo Vale | 2575 | House | $600 | 42.9% | 0% |
9 | NSW | Brunswick Heads | 2483 | House | $795 | 42% | 0.6% |
10 | NT | Howard Springs | 0835 | House | $695 | 41.8% | 0% |
11 | WA | Beechboro | 6063 | Unit | $380 | 40.7% | 0.4% |
12 | NSW | Cooma | 2630 | Unit | $330 | 40.4% | 0.6% |
13 | WA | Kambalda West | 6442 | House | $280 | 40% | 0.6% |
14 | NSW | Sussex Inlet | 2540 | Unit | $415 | 38.3% | 0.6% |
15 | QLD | Chelmer | 4068 | House | $685 | 37% | 0.7% |
16 | NSW | Kahibah | 2290 | House | $600 | 36.4% | 0% |
17 | VIC | Rochester | 3561 | House | $380 | 35.7% | 0% |
18 | QLD | Chuwar | 4306 | House | $430 | 34.4% | 0% |
19 | WA | Quindalup | 6281 | House | $670 | 34% | 0% |
20 | QLD | Pomona | 4568 | House | $600 | 33.3% | 0% |
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