Sydney eastern suburbs rental rise above the CPI over winter
For five years the BradfieldCleary agency in Sydney's east have been keeping tables on a selection of its rental re-lettings.
The latest shows properties re-let over the winter season.
The overall the properties leased for an average of 3.91 percent above the previous rent.
This is a particularly strong performance for rent returns in winter, a time when there is generally less demand than in the spring and summer, agent Bob Guth suggests.
The figures from previous winters; July 2012 (2.66 percent), July 2013 (0.80 percent), June 2015 (3.55 percent) were not as strong as this year.
"This may well be a reflection on the increase in values residential property has experienced over the last several years but may also come due to a slightly strengthening economy.
"Needless to say some of the more significant increases may be as a result of some minor upgrades (paint, carpet, lighting, blinds etc) and the small falls in return because of wear and tear and general presentation."
"Nonetheless it is clear that rents continue to rise above the CPI, confirming investment in residential property must surely be better than ‘money in the bank’," Bob Guth said.