Rent.com.au has released its report for July 2019 based on property leasing data. The report illustrates the shift in Australian median rental property prices (both metro and regional), rental affordability (the median room price metric) and days on market.
Rent.com.au Rental Snapshot Highlights:
- Despite a fall in house prices, Hobart was the strongest performer of all state/territory capitals for apartments (median rents up 7.7%).
- Over the month, national median house rents increased, with all but four capital cities recording rises. In the combined capital cities, there was a rise of 2.3% for the month.
- Darwin experienced the largest monthly rent growth at 3.8% up to $477/week.
- Despite Sydney’s decline, it is still the capital city with the highest median rent.
- Hobart national room prices recorded the most significant increase of all capitals, month-on-month, up 4.2% to $184/week.
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Table 1: Median rent (apartments v houses) and price per room
|Metro area||Apartments||% change||Houses||% change||Price per room||% change|
Price trends in July 2019
Rents remained relatively flat in July 2019, with only an incremental rise in the house rents, up 2.3% nationally. Melbourne metro was the only capital to record a decrease in median rents month-on-month across both apartments and houses – a 2.4% fall in apartment prices to $410/week and a 2.3% fall in houses to $420/week.
In July, there was no change to the median rent for two of the country’s biggest states (Sydney and Adelaide) in houses. Despite a small increase in rents, Perth house rents have remained – like Adelaide – under $400/week.
Sydney rents are still high (no great surprise), but cooling demand could be behind the stabilising cost of houses and the small fall (1% down) in apartments this month.
The most affordable apartments in July could be found in both Perth and Adelaide, with asking rents at $320/week.
Price per room in July 2019
Rent.com.au’s price per room metric offers another way to look at the cost of renting in Australia, particularly for people looking to share a home and save money. According to the July data, Perth was the most affordable Australian capital for home hunters looking to rent an individual room in an apartment at $150/week. The Western Australian capital also retained its lead as most affordable room prices in houses at $120/week.
Year-on-year, Brisbane apartment room prices rose 22.2% to $275/week – the most significant increase of all state and territory capitals. Sydney, Melbourne, Brisbane, Hobart and Darwin each recorded an increase in the price per room for both apartments and houses over the 12 months. Considering affordability, apartments led the charge in July at $335/week in Canberra, $281/week in Melbourne and $275/week in Brisbane.
Table 2: Price per room (Apartments versus Houses)
|Metro area||Apartments||% change from JULY 2018||Houses||% change from JULY 2018|
Median rents across the regions were stable in July, consistent with data from June. Regional rents saw the most significant positive spike in Tasmania this time, (up 3.2% to $320/week). This was one of only three upward changes in the country, with falls in Western Australia (down 7.1% to $325/week) and Victoria (down 1.6% to $315/week). Rents in the Northern Territory remain the most expensive across Australia at $420/week.
Table 3: Regional rents in July 2019
|State/Territory||Jul-19||% change from June 19|
Time on market.
Rent.com.au’s average time on market measure provides context to the movement in asking rents across the country. Overall, houses were quicker to come off-market in July than apartments, with five of eight capitals seeing houses lease faster month-on-month (Darwin – 9%, Adelaide – 6%, Brisbane – 3%, Perth – 3% and Sydney – 1%).
Of the five largest states, Brisbane saw the most significant change in leasing time year-on-year, with apartments in July this year leasing 17% faster than they were in July 2018.
Table 4: Days on market in July 2019
|Metro area||APARTMENT days on market JULY 2019||% change from JUNE 2019||% change from JULY 2018||HOUSES days on market JULY 2019||% change from JUNE 2019||% change from JULY 2018|
|SYDNEY||28 days||0%||7% slower||29 days||1% faster||6% slower|
|MELBOURNE||22 days||3% faster||11% slower||26 days||1% slower||13% slower|
|BRISBANE||19 days||1% slower||17% faster||22 days||3% faster||11% faster|
|PERTH||32 days||2% slower||12% faster||30 days||3% faster||15% faster|
|ADELAIDE||22 days||3% faster||12% faster||22 days||6% faster||13% faster|
|HOBART||15 days||9% slower||1% slower||19 days||15% slower||2% slower|
|DARWIN||33 days||2% slower||16% faster||33 days||9% faster||3% faster|
|CANBERRA||23 days||1% faster||40% slower||22 days||1% slower||27% slower|