Record high-rise apartment building in Sydney has yet to apply downward pressure on rents, with apartment rents jumping sharply in the June quarter.
This is good news for property investors but it’s no relief for renters.
The median weekly rent for an apartment is now $520 per week which is just $5 cheaper than houses, according to Domain Group’s Rental Market Report released last week.
But experts are predicting the trend will turn-around as the record surge in apartment developments are completed, and these are mainly owned by investors looking for tenants.
Over the past 12 months, Sydney’s unit rents have risen 5%, making it the second-fastest city in the country for growth behind Hobart. House rents increased 1% over the same period.
The bulk of the apartment rental growth over the quarter was due to a surge in Canterbury-Bankstown and the western suburbs, up 4.3% and 4.2% respectively. Over the past year, the northern beaches saw the highest increase in asking rent, up 7.1% to $600 per week.
Read more here: Domain Article