“It only seems like yesterday that angry Sydney tenants wanted to blame everyone from property investors, baby boomers, negative gearing, and insufficient housing supply for their inability to get a foot on the property ladder,” Pressley said.
“Now Sydney has falling rents, surplus housing stock, and a pipeline with plenty more new stock to come.”
“I wouldn’t at all be surprised if there were 30,000 vacant dwellings across Greater-Sydney by year’s end.”
Rental vacancies have also fallen year on year in Adelaide, Perth and Brisbane but increased slightly in Melbourne and Canberra.
A year ago, Brisbane had the highest vacancy rate across all of the capital cities bar Perth at 3.6 per cent, but that fell to 2.7 per cent earlier this year.
“Brisbane’s rental market has also balanced out. Some landlords are now seeing rents rise for the first time in several years,” Pressley said.
“The vacancy trend in Melbourne is rising. This is not surprising given, like Sydney, Melbourne has been through a few years of record residential construction and high investor activity adding large volumes to Melbourne’s rental stock.”