Weakest rental conditions for decades: Core Logic RP Data

Weakest rental conditions for decades: Core Logic RP Data
Weakest rental conditions for decades: Core Logic RP Data

Rental growth across the capital cities over the past twelve months has reduced further, with dwelling rents unchanged over the year.

According to CoreLogic RP Data's Tim Lawless, with a rental series that extends back to 1996, these are the weakest rental markets conditions ever seen.

“In fact there hasn’t previously been a twelve month period when rents didn’t rise across our combined capitals index.” he says.

Darwin and Perth are dragging the broader capital cities’ rental indicators down with weekly rents down 13.4% over the past year in Darwin and 8.6% lower in Perth.

Dwelling rents were also down in Brisbane (-0.7%) and Adelaide (-0.4%).

The largest rental increases were in Sydney and Melbourne where weekly rents rose 1.4% higher, and 2.1% higher respectively over the past twelve months.

Mr Lawless said with dwelling values rising substantially more than rents in Sydney and Melbourne, this ongoing effect has created a compression in gross rental yields to the extent that gross yields in these cities are now only marginally higher than record lows.”

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Weakest rental conditions for decades: Core Logic RP Data

Jonathan Chancellor

Jonathan Chancellor

Jonathan Chancellor is one of our authors. Jonathan has been writing about property since the early 1980s and is editor-at-large of Property Observer.

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