Andrew Wilson, senior economist at Australian Property Monitors (APM), has suggested housing demand and price growth will peak in 2012, easing the pressure on tenants across the country.
Mr Wilson was responding to the latest statistics from APM, which suggest Sydney, Perth, Canberra and Brisbane continue to be competitive markets for renters, with a very low vacancy rate.
He told the Adviser that a strengthening economy and increased affordability will make investors more active in these cities over the coming year, increasing the number of properties available for rent.
"Melbourne continues to be Australia's most tenant-friendly rental market with a wider choice of properties courtesy of nation-leading dwelling construction and no growth in rentals," the economist added.
Brisbane's property market is still struggling with the impact of 2011's flooding, Mr Wilson noted.
A report from the Australian Property Institute recently warned that many of the homes damaged by floods in Brisbane were unlikely to sell in 2012.
Posted by Steve Douglas
