Vacancies in Middle and Outer Sydney have risen a considerable 1.2 per cent in the month of October, according to REINSW
In a surprising turn for the rental market, vacancies in Middle and Outer Sydney have risen a considerable 1.2 per cent in the month of October.
The rise in vacancies was also mirrored throughout the Hunter region and Illawarra, which both saw a jump in the number of unlet properties.
In contrast, vacancies in Inner Sydney have dropped for the third straight month, pointing to continued demand for inner-city living.
263 Oxford Street Paddington is available for rent in inner Sydney. Photo: The Home Page
At a glance:
“Feedback from Sydney real estate agents is they’re noticing less people coming to rental home opens,” says REINSW CEO Tim McKibbin.
“In September, some agencies reported renting their highest number of properties in years and are now finding the market has slowed.”
Mr McKibbin says agents have also reported oversupply and rental prices as contributing to the rising rates.
“We are hearing the term oversupply in Sydney, as well Albury and the Central Coast.
“In the Illawarra and Hunter, many agencies say they are having to drop rents in order to attract tenants.”
Sydney data
The total rate of vacancies in Sydney across the month of October was 3.6 per cent, a rise of 0.7 per cent on September.
Inner Sydney was the only area which saw a decrease in rates, down 0.4 per cent to 2.7 per cent, a low not seen since November last year.
Vacancies in Middle Sydney rose to 4.2 per cent from 3.0 per cent, while Outer Sydney is sitting at 3.9 per cent up from 2.7 per cent.
Beachside living is proving to be popular as we head into the warmer months, with vacancies low in Clovelly, Coogee, Balmoral and Bondi.
North Sydney has also experienced a shift, following a high last month of 6 per cent.
Vacancies there have halved, with local real estate agents saying they have seen an uptake in enquiries.
Mascot, Darling Point, Double Bay, Balgowlah, Mona Vale and Auburn have returned some of the highest vacancy rates, all in excess of 5 per cent.
The Hunter
Vacancies in the Hunter region rose 0.8 per cent for the month of October, from 1.0 per cent to 1.8 per cent.
Newcastle experienced a significant jump of 1.3 per cent to 2.5 per cent, the highest rate for the area since January this year.
Other parts of Newcastle also rose by 0.4 per cent to 1.4 per cent.
The Illawarra
Overall, vacancies in the Illawarra rose by 0.2 per cent to 2.4 per cent.
This was due to most areas in the region reporting an overall rise of 0.6 per cent, however Wollongong bucked the trend, dropping 0.3 per cent to 2.5 per cent following September’s high of 2.8 per cent.
The other regions
The Central Coast experienced a major shift, with a 1.4 per cent rise in unlet dwellings. Local agents are reporting an increased supply in available housing, which is pushing downward pressure on rents. Coffs Harbour also saw a jump in vacancies, up 0.7 per cent on September.
In contrast, Murrumbidgee, the Mid-North Coast, Central West and South Eastern Region all saw a dive in rates.
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