Rents are rising rapidly around Australia, with vacancy rates reported in the Mortgage Choice/ REIA Real Estate Market Facts March quarter 2007 edition showing that vacancies range from a low of 0.8 per cent in Perth to 2.3 per cent in Hobart.
The scarcity of rental accommodation is pushing rents up across the country, with increases for 3 bedroom houses ranging between 1.8 per cent over the quarter and 5.7 per cent over the year in Sydney to 7.9 per cent over the quarter and 13.3 per cent over the year in Darwin.
Over the year, there have been double digit rent increases for houses in Perth, Canberra and Darwin; and for other dwellings (flats/units/townhouses) in Melbourne, Brisbane, Perth and Darwin. Canberra is now the most expensive city in Australia for rental accommodation, with a median $342.50 weekly rent for 3 bedroom houses and $325 weekly rent for 2 bedroom other dwellings.
The cheapest locations for 3 bedroom rental properties are Melbourne and Adelaide ($250 per week). For 2 bedroom other dwellings, Adelaide is the cheapest with a median weekly rent of $200 per week.
Median house prices rose during the March quarter in Hobart (1.4 per cent), Brisbane (1.6 per cent), Adelaide (2.4 per cent) and Darwin (5.4 per cent) Sydney remains Australia's most expensive city with a median price of $516,500, with Perth in second place with a median of $455,000. Hobart is the cheapest location with a median house price of $294,000. Perth now has the highest median for other dwellings at $350,000, compared with Sydney's price of $348,400 in the March quarter.
Hobart is again the cheapest location with a median other dwelling price of $223,000.
"Rent increases are resulting in rises in rental yields and returns, providing renewed opportunity for investors in many areas", said Mr Joyce. Mortgage Choice's National Manager of Corporate Affairs Warren O'Rourke said that investors should take heed and speak with their accountant and financial advisor about the tax benefits of financial strategies such as property gearing. "Otherwise, they may miss out on opportunities that will benefit their investment portfolio for the future", he warned.
The scarcity of rental accommodation is pushing rents up across the country, with increases for 3 bedroom houses ranging between 1.8 per cent over the quarter and 5.7 per cent over the year in Sydney to 7.9 per cent over the quarter and 13.3 per cent over the year in Darwin.
Over the year, there have been double digit rent increases for houses in Perth, Canberra and Darwin; and for other dwellings (flats/units/townhouses) in Melbourne, Brisbane, Perth and Darwin. Canberra is now the most expensive city in Australia for rental accommodation, with a median $342.50 weekly rent for 3 bedroom houses and $325 weekly rent for 2 bedroom other dwellings.
The cheapest locations for 3 bedroom rental properties are Melbourne and Adelaide ($250 per week). For 2 bedroom other dwellings, Adelaide is the cheapest with a median weekly rent of $200 per week.
Median house prices rose during the March quarter in Hobart (1.4 per cent), Brisbane (1.6 per cent), Adelaide (2.4 per cent) and Darwin (5.4 per cent) Sydney remains Australia's most expensive city with a median price of $516,500, with Perth in second place with a median of $455,000. Hobart is the cheapest location with a median house price of $294,000. Perth now has the highest median for other dwellings at $350,000, compared with Sydney's price of $348,400 in the March quarter.
Hobart is again the cheapest location with a median other dwelling price of $223,000.
"Rent increases are resulting in rises in rental yields and returns, providing renewed opportunity for investors in many areas", said Mr Joyce. Mortgage Choice's National Manager of Corporate Affairs Warren O'Rourke said that investors should take heed and speak with their accountant and financial advisor about the tax benefits of financial strategies such as property gearing. "Otherwise, they may miss out on opportunities that will benefit their investment portfolio for the future", he warned.
