Inner Sydney rental market improves for landlords: CoreLogic
The number of apartments available for rent across inner Sydney has dropped 24 per cent since February, new data from CoreLogic shows.
The change comes amid rising demand from tenants seeking affordable housing options.
Inner Sydney rental listings had come down from 5348 to 4092 between February and the end of October.
Rental stock levels are now 10 per cent lower than March 2020 level having peaked in June.
CoreLogic research director Tim Lawless said one reason for the increased interest in inner city unit rentals was the price difference between apartments and houses.
Capital city house rents have surged 10 per cent during the pandemic, while unit rents are at 0.3 per cent below pre-COVID-19 levels.
The average rent on an inner-city unit in Sydney has fallen by $21 a week since March last year.
Mr Lawless said rental demand for inner-city tenancies was likely to increase further as pandemic restrictions ease, workers gradually return to work and international borders re-open.
Lawless anticipates demand for inner city unit accommodation will rise "substantially", as foreign students and international visitor numbers start to arrive in Sydney.
The rental performance in apartments sees a similar trend in prices.
CoreLogic puts house values up 24 percent over the year across the combined capitals, rising at more than double the annual pace of apartments, which are up 11.8 per cent.
Sydney house values are up 30 percent compared to a 13 percent rise in apartment values.