Hobart more expensive to rent a house than Melbourne: Domain

Hobart more expensive to rent a house than Melbourne: Domain
Hobart more expensive to rent a house than Melbourne: Domain

It is now more expensive to rent a house in Hobart than in Canberra, according to Domain's Q1 2019 Rent Report.

House rents in Hobart continued to increase over the quarter, up over 7% to $450, while Melbourne's held firm, showing no increase and remaining at $440.

It's the first time in recorded history house rentals in Hobart have been higher than Melbourne.

Hobart's rental market

Hobart more expensive to rent a house than Melbourne: Domain
Source: Domain

"Rental stock has hit an all time high," Domain's Nicola Powell said.

In two years, house rents in the Tasmanian capital have gone from the most affordable to surpassing Adelaide, Perth, Brisbane and Melbourne.

The drive in rising rents is likely attributed to the bigger rental pool, with house prices in Hobart soaring over the last few years and pricing many out of the buyer market.

The median price for Melbourne units closed to gap to houses, now just $20 between the two.

Melbourne's rental market.

Hobart more expensive to rent a house than Melbourne: Domain

Source: Domain

Melbourne's investor activity has retreated, which could tighten the rental market further.

Comparing the two capital's, a Victorian cottage in Hobart (below) is up for rent seeking tenants at $485 a week, just above the median rental price.

The cottage at 99 Warwick Street has two bedrooms and a living room with original period features.

Hobart more expensive to rent a house than Melbourne: Domain

In Melbourne an Abbotsford house (below) is asking $410 a week.

The one bedroom bluestone house at 11 William Street has its own private courtyard. 

Hobart more expensive to rent a house than Melbourne: Domain 

Canberra remains the most expensive city to rent a house, having overtaken Sydney last quarter.

The gap has widened, with Canberra's median house rental price seeing nearly 2% growth in Q1 2019, compared to Sydney's stagnant prices.

Canberra's median house rent is now $570 a week, compared to Sydney's $540 a week. 

Sydney defied the national trend of rising rents and became the only capital city to record annual falls for houses and units.

House rents are now back to late-2016 prices, and unit prices back to early-2017.

 

 

 

Tags: 
Domain Rental market

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