D
Damian George
New Member
I have Like thwe Australian Property for some time and looks like the perfect storm for price rises
RENTERS are forking out more than $1000 a month above what they did a year ago to live in houses among Melbourne's rich and famous.
Despite this year's economic gloom, people who have made the move to a Toorak house over the past 12 months have been willing to pay an average of almost $1300 a week -- up $390 on the average advertised rate a year earlier. While rents have nose-dived in some areas of Australia, many Melbourne suburbs have experienced exceptional increases in median rental rates. The data, released yesterday by rpdata.com, saw advertised weekly rents in leafy Toorak skyrocket by 43.8 per cent. Other suburbs to be hit with higher house rental rates included Gisborne, Moorabbin and Beaumaris.
Over the 12 months to September, weekly rents for houses nationally increased by 3.4 per cent, while units experienced a slightly greater rate of growth at 4.1 per cent. People renting a Balart unit were stung about 38.5 per cent more over the past 12 months -- the highest rent increase on a Victorian unit, of about $50 a week.
But RP Data research analyst Cameron Kusher said that compared with recent years, the results reflect a slower rate of growth. "In most areas, rents have actually shown modest falls in recent months as value growth has returned to the market and rental growth has failed to keep pace," he said. First home buyer activity had eased some of the pressure on the rental market as renters became first home buyers, Mr Kusher said. "With the first home buyers grant boost being wound back, and mortgage rates rising, we anticipate more people will be forced to remain in the rental market," he said.
"Ultimately, the impact is likely to be that rental rates will once again start to climb, especially given that nationwide our annual new dwelling requirement continues to go unfulfilled." Mr Kusher said individual suburbs might have seen larger increases in median weekly advertised rents because of:
A DRAMATIC change in housing stock and quality;
HOUSING undersupply coupled with increasing demand; and
A SHIFT from ownership to rentals.
Nationally, Rose Bay in Sydney's eastern suburbs recorded the greatest annual growth in house rents, with a 58.3 per cent increase to $850 a week.
For the full story visit a www.news.com.au
RENTERS are forking out more than $1000 a month above what they did a year ago to live in houses among Melbourne's rich and famous.
Despite this year's economic gloom, people who have made the move to a Toorak house over the past 12 months have been willing to pay an average of almost $1300 a week -- up $390 on the average advertised rate a year earlier. While rents have nose-dived in some areas of Australia, many Melbourne suburbs have experienced exceptional increases in median rental rates. The data, released yesterday by rpdata.com, saw advertised weekly rents in leafy Toorak skyrocket by 43.8 per cent. Other suburbs to be hit with higher house rental rates included Gisborne, Moorabbin and Beaumaris.
Over the 12 months to September, weekly rents for houses nationally increased by 3.4 per cent, while units experienced a slightly greater rate of growth at 4.1 per cent. People renting a Balart unit were stung about 38.5 per cent more over the past 12 months -- the highest rent increase on a Victorian unit, of about $50 a week.
But RP Data research analyst Cameron Kusher said that compared with recent years, the results reflect a slower rate of growth. "In most areas, rents have actually shown modest falls in recent months as value growth has returned to the market and rental growth has failed to keep pace," he said. First home buyer activity had eased some of the pressure on the rental market as renters became first home buyers, Mr Kusher said. "With the first home buyers grant boost being wound back, and mortgage rates rising, we anticipate more people will be forced to remain in the rental market," he said.
"Ultimately, the impact is likely to be that rental rates will once again start to climb, especially given that nationwide our annual new dwelling requirement continues to go unfulfilled." Mr Kusher said individual suburbs might have seen larger increases in median weekly advertised rents because of:
A DRAMATIC change in housing stock and quality;
HOUSING undersupply coupled with increasing demand; and
A SHIFT from ownership to rentals.
Nationally, Rose Bay in Sydney's eastern suburbs recorded the greatest annual growth in house rents, with a 58.3 per cent increase to $850 a week.
For the full story visit a www.news.com.au
