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Why rents are rising in many parts of Australia

3/10/2022

Why rents are rising in many parts of Australia

Rental listings have fallen in seven of Australia’s capital cities compared to the start of the pandemic, according to realestate.com.au.

The portal has reported that the number of rental properties across Australia was 31% lower in July 2022 than March 2020.

Listings declined in every capital city except Canberra:

Number of Monthly Active for Rent Listings Index 100 Aug 2017

Amazingly, rental listings declined even more in regional locations, ranging from a 25% reduction in regional Victoria to a 63% reduction in regional Western Australia. Unsurprisingly, the fall in rental listings has led to:

"As rental price pressures continue in the period ahead, this could increase the attractiveness of buying for some current tenants," REA Group senior economist Eleanor Creagh said.