01/03/2023
According to research, regional Australia accounted for nine out of the top ten suburbs where the median house rent increased the most. However, tenants in big cities also saw harsh price increases.
According to fresh statistics from PropTrack, Katanning, a village 270 kilometres southeast of Perth, saw the most annual rent increase, rising by a whopping 47 per cent.
Rent increases of at least 40% were observed in Port Broughton in South Australia, Gatton and Elliott Heads in Queensland, and the ancient town of Orbost in Victoria.
The survey discovered significant changes in the monthly rental price of units in inner-city suburbs of capital cities over the previous 12 months.
Predictably, strategically located neighbourhoods in Sydney and Melbourne had the largest increases in median unit rents.
The largest increase in the country for units was seen in Melbourne's CBD, where apartments increased by 42%.
The Rocks in Sydney and Darlington rounded out the top three, as per the research, with increases of 38% and 35%, respectively.
Melbourne came in second with three neighbourhoods, followed by Sydney with four in the top ten.
If the gloomy projections from analysts at St. George come true, tenants nationwide will receive more bad news.
St. George warned this week that national rentals would increase by more than 11% in the upcoming year.
In the past year, rents increased 10% annually across the country.
According to the estimate, consumers would probably need to cut back on their spending to compensate for rising rental expenses, which could impede the economy.
Consumers would probably need to cut back on their spending to compensate for rising rental expenses, which could impede the economy.
Prospective tenants have complained about how difficult it can be to find a new house during the past year, with large groups frequently attending viewings.
At its meeting in February, the Reserve Bank increased the cash rate by 0.25 percentage points and signalled more hikes in the following months to bring inflation under control.
A lot of landlords pass on borrowing charges to tenants.
The influx of international students and backpackers, who are reducing supply, is another element that is exacerbating the renting situation.
