Rental Prices in Sydney are Touching Heights
A new property research has been carried out, results of which revealed that rental prices in Sydney are growing at a faster rate than in the past years.
The Domain’s rental market report released showed that the median rental cost of the harbour city got a rise of 1 per cent in the September quarter and 3.9 per cent year-on-year. Thereby, making a new record of $530 per week Along with it unit rents also got a rise of 2 per cent in the September quarter and 3 per cent year-on-year, thereby making a new record of $510 per week.
Domain’s senior economist, Dr Andrew Wilson says, “Sydney has now overtaken Darwin with the highest capital city unit rents, despite increased supply, which is a concerning trend for some market segments. Sydney is the standout capital this quarter with rental prices continuing to rise, despite an increased supply of properties available. Low levels of first home buyers are offsetting investor activity and the record levels of new buildings is having no effect, with demand remaining higher than supply”.
He further added, “The increased rental rates in Sydney – it’s now the most expensive capital in Australia for unit rental – is a concerning trend for first home buyers. Notwithstanding the deposits required for purchasing property, increased rents means there are more outgoing expenses for first home buyers and therefore more time and saving needed to meet the requirements”.