Adelaide’s rental market could be set for a shake up, with a number of popular suburbs recording price drops of up to seven per cent.
Renters in Belair could save up to $80 a week, according to a Realestate.com.au data analysis, which showed the popular foothills suburb recording the largest price drop in the state over the past year. The suburb now has a median rent of $450.
Those looking for a rental in the western suburbs can find the biggest rental price drop in New Port, down 6 per cent to $450, and Brooklyn Park, down 4 per cent to $330.
Other suburbs to have made the state’s Top 10 for rental price drops included, Renmark, Kingswood, St Claire, Richmond, Fullarton, Pennington and Ceduna.
Realestate.com.au chief economist Nerida Conisbee said the price drop spelled a great opportunity for future tenants.
“The areas that are dropping (in price) may have too many investment properties or people don’t want to live there,” she said.
“It does mean if you’re renting in Belair, it’s a good time to speak to your landlord. Because prices are going backwards it gives a bit more negotiating power.”
Ms Conisbee said the data highlights what tenants are looking for, with proximity to work and cheaper rental price likely the largest factors.
“There’s a lot of growth in lots of different jobs, especially manufacturing work,” she said.
“Tenants are looking to live near where they’re working, often more north-side and more budget friendly alternatives.”
Belle Property rental agent Tiffany Wong said she had not noticed big price drops in the Belair region, as the suburb was predominantly owner-occupied.
“If you search in Belair it’s very rare they come up,” she said.
“We find two-bedroom units or houses easy to rent, but a four-bedroom house is a little harder.”
However Ms Wong admitted that upper market rentals could prove difficult to lease.
Her rental at 3 Babbage St is an example of that, with her agency struggling to find a suitable tenant for the four-bedroom home.
“The upstairs part we were trying to achieve $800 a week, now we’re renting it for $700 and the downstairs is $300 per week,” she said.
“The downstairs section was quite quick, it was rented after one inspection, but the four-bedroom section is a little harder.
“No one in Adelaide is prepared to pay that high rent, they often think they’re better off buying a house.”
Ms Wong said despite this, she had noticed a change in rental demand in the last year for properties in the Adelaide Hills.
“It’s getting better, people are moving from the city to the suburbs because they want that quality of life,” she said.