It’s the old story of supply and demand. 
The recent building boom across Australian capital cities is helping to keep a lid on rent increases despite strong population growth according to Domain’s rental report.
Regular Property Update commentator Pete Wargent, made the following comments for The Australian Financial Review.
“We kicked off a big construction boom in 2012, which is now in its last legs for Sydney with the latest ABS figures showing that apartment commencements in Sydney are down by more than half over the past year
These things go in a cycle, but it forces landlords to provide a better product to compete for tenants, it frees up a bit of cashflow for the tenant which is good if they can rent for less. In the short term landlords might have to take a bit of a knock on the rent but it’s not necessarily all a bad thing.”
Subscribe & don’t miss a single episode of Michael Yardney’s podcast
Hear Michael & a select panel of guest experts discuss property investment, success & money related topics. Subscribe now, whether you're on an Apple or Android handset.
Need help listening to Michael Yardney’s podcast from your phone or tablet?
We have created easy to follow instructions for you whether you're on iPhone / iPad or an Android device.
Prefer to subscribe via email?
Join Michael Yardney's inner circle of daily subscribers and get into the head of Australia's best property investment advisor and a wide team of leading property researchers and commentators.
'This is what’s happened to rents in your capital city' have no comments
Be the first to comment this post!