Hobart's vacancy rate in August was the lowest recorded by SQM since it began collating the data in 2005.
The number of residential rental vacancies in Australia was 71,540 in August 2017, according to SQM Research, giving a national vacancy rate of 2.2 per cent, down from 2.3 per cent in July.
Hobart's vacancy rate was the lowest ever recorded by SQM.
Data: SQM Research.
“This is yet another piece of positive data to add to the long list records which Hobart has achieved over the last couple of years," said Simon Pressley, head of property market research, Propertyology.
Hobart real estate is being buoyed by "employment growth, retail spending, interstate migration, job advertisements, domestic and international visitor numbers, vacancy rates, and Australia’s strongest property market," he said.
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"If a tenant of a property indicates that they are not renewing their lease at the end of the term, the property manager will have a long list of waiting applicants,” said Pressley.
“The typical 3-bedroom house in Hobart currently rents for $360 to $450 per week, which is significantly more affordable than most parts of Australia," he said, adding there was room for rents to rise.
“Investors are in an enviable position wherein current yields are probably already covering all of their costs and rental income is now destined to shoot higher,” said Pressley.
Rents are rising, but not in Perth: SQM
Capital city asking rents over the 30 days to 12 September rose 0.4 per cent to $549 a week for houses, according to SQM Research.
Unit asking rents were steady at $438 a week.
Year-on-year capital city asking rents were up by 2.4 per cent for houses, and 1.9 per cent for units.
Hobart recorded the fastest pace in rental increases for houses, with growth of 4.2 per cent rise over the past 30 days, and a whopping 14.5 per cent for the past 12 months.
"The rapid rise in rents is clearly attributed to the record low vacancy rates," says the SQM research report.
Perth rents are down 34 per cent from their March 2013 peak: SQM
Perth rents continued to decline, falling 2.1 per cent for houses and 1.5 per cent for apartments in the past 30 days, according to SQM. Perth rents are now down 5.1% for houses and 7.1% for units over the past 12 months, says SQM. Rents are now down 34 per cent in Perth from their peaks recorded March 2013.
However, data from the REIWA paints a more positive picture, showing Perth's median rent was steady in August for the fourth consecutive month at $350.
Sydney vacancy rates edged higher
Sydney vacancy rates edged higher for the second month in a row, according to August 2017 REINSW Vacancy Rate Survey.
The REINSW survey showed availability in the Sydney metropolitan area rose 0.1 percentage points to 2.0 per cent.
“It was a mixed result for Sydney, despite the overall rise," said Leanne Pilkington, deputy president of the REINSW.
"Availability in Inner Sydney dropped 0.4 percentage points at 1.9 per cent, while Outer Sydney fell 0.1 percentage points at 0.1 per cent,” she said.
“Middle Sydney bucked the trend with an increase of 0.8 percentage points to 2.3 per cent.”
The SQM data shows Sydney's vacancy rate was flat in August at 2.0 per cent.
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