Rental growth stronger in regional Australia than capital city markets: CoreLogic
Combined capital city rental rates fell by 0.6 percent over the 12 months to June with rents rising in some rural areas according to CoreLogic.
CoreLogic reported falls over the year in Brisbane, Adelaide, Perth and Darwin with rental growth slowing from already low levels in most other capital cities.
Senior research analyst Cameron Kusher said while rental rates are falling in many capital city regions, today’s data suggests that in mid-sized and coastal regional markets, rental demand is picking-up, with these regions seeing a rise in migration over recent years.
“Perhaps we are seeing evidence of try-before- you-buy in these regions where people are moving into the regional areas and renting before fully committing to a purchase," he said.
“The fact that units rents are increasing in many coastal locations is potentially reflective of the recovering markets spurred on by a lower Australian dollar and an improvement across the tourism sector.”
"For units, only three of the 25 council areas listed are located within a capital city (Hobart, Pittwater and Wyndham).
"NSW dominates the list with 13 regions with the number of council areas across the remaining states recorded at: six in Vic, two in Qld, one in SA, and one in WA and two in TAS. Most of the top 25 regions listed are coastal lifestyle markets."
