Rents come down

According to Australian Property Monitors, the average national rent fell just 0.3% for houses and 0.5% for units throughout the quarter. Annual growth however, is well below the long term average, sitting at just 2.8%.

APM’s head of research Yvonne Chan said the annual softening of the rental market can be attributed to the large number of first home buyers, who were drawn from the rental market by historically low interest rates and the First Home Owners Boost.

“Although first homebuyer numbers have returned to normal, we are still seeing a delayed flow on effect on rental demand,” Ms Chan said.

“Despite low vacancy rates in most cities and strong employment figures, a fall in consumer sentiment in September and continued concerns over the global economy mean landlords have continued to be conservative in raising rents.”

Darwin recorded the strongest rental growth for houses at 3.8% pushing the median weekly rent to $550, the highest in the nation and $70 more than the next most expensive city of Sydney.