Sydney and Canberra drive national vacancy rates higher in December: SQM Research

Sydney and Canberra drive national vacancy rates higher in December: SQM Research
Sydney and Canberra drive national vacancy rates higher in December: SQM Research

The national vacancy rate rose to 2.5 percent in December, up from 2.3 percent in November, according to SQM Research.

Sydney and Canberra were the biggest contributors, with both of their vacancy rates increasing 0.4 percent.

Sydney's vacant rate is currently the second highest of all capital cities at 3.6 percent, with 25,177 properties available for rent.

Canberra's is at a lot 1.3 percent, with just the 829 properties for rate.

Louis Christopher, managing director of SQM Research, said 2019 could become a tenants market.

"The rise in vacancies continue into December due to seasonality, with Hobart continuing to face ongoing tight rental conditions however rents in Hobart have decreased over the month for both houses and units.”

 “If current vacancy rate levels continue to rise into January and February, Darwin, Sydney, Brisbane and Perth will be a tenant’s market in 2019,” Christopher said.

The total number of vacancies Australia-wide increased to 82,558 – an additional 7,968 properties now available for rent since November 2018.

Click here to enlarge.

Sydney and Canberra drive national vacancy rates higher in December: SQM Research

Darwin has the highest vacancy rate at 4.3 percent. 

Perth follows Sydney as the third highest capital vacancy rate, although it's remained steady at 3.4 percent from November and well down from 4.6 percent a year ago when it was the highest of all capital cities.

Brisbane edged higher in December from three percent to 3.2 percent in November. A year ago the vacancy rate sat at 3.8 percent.

Melbourne's vacancy rate is at a low 2.2 percent, but increased from its 1.9 percent rate in November. It's up just 0.1 percent from a year ago.

Adelaide rose 0.1 percent in December, but is down from 1.5 percent in December 2017. 

Hobart has continued its record low vacancy rate of 0.4 percent with no change from November.

Asking rents for houses grew 0.7 percent over the month to 12 January to $559 a week.

Unit asking rents also grew 0.7 percent over the same period to $429 a week.

Over the year, asking rents for houses rose 0.7% while unit asking rents slipped 0.2%.

 

Joel Robinson

Joel Robinson

Joel Robinson is a property journalist based in Sydney. Joel has been writing about the residential real estate market for the last five years, specializing in market trends and the economics and finance behind buying and selling real estate.

Tags: 
Sqm Research Vacancy Rate

Community Discussion

Be the first one to comment on this article
What would you like to say about this project?