Residential property rental vacancy rates fell to a low of 1.5% over the month of November 2021.
The total number of vacancies Australia-wide now stands at 55,370 residential properties, down from 56,953 in November.
Melbourne and Brisbane’s vacancy rate dropped to 3.2% and 1.3% in November from 3.3% and 1.4% in October.
Many regional townships in NSW recorded a tightening in vacancy rates over the month of November such as Dubbo and NSW North Coast which recorded 0.4% and 0.5% respectively.
In Perth, Adelaide, Canberra, and Hobart the vacancy rate remained below 1.0%, while Sydney’s rates remained constant.
Vacancy rates fell in the Sydney CBD and Melbourne CBD to 6.9% and 7.2%.
SQM’s calculations of vacancies are based on online rental listings that have been advertised for three weeks or more compared to the total number of established rental properties. SQM considers this to be a superior methodology compared to using a potentially incomplete sample of agency surveys or merely relying on raw online listings advertised. Please go to our Methodology page for more information on how SQM’s vacancies are compiled.
As we come to the end of 2021, the no vacancy sign is lit up across most of Australia.
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There has not been a time when five of our eight capital cities simultaneously recorded rental vacancy rates under one percent.
This has translated into surging rental rises, particularly for houses where the capital city rise for the year is now recorded up by 11.7%.
It is clear that demand has boomed for larger properties since Covid and we are not yet recording a reversal of this trend.
However, I do believe 2022 will see a move towards units, simply by virtue of their relative affordability plus the new inflow of immigrants will look for unit accommodation first and foremost as they have done in the past.
National asking rents rose 0.4% for houses to $551 per week and units rose by 1% to $416 a week.
Capital city rents rose by 2.4% for houses over the past 30 days to stand at $603 a week. Rents for units rose by 0.7% to stand at $427 a week.