“In Hobart, there is a severe shortage of rental accommodation with just 78 properties available to rent, and rents are rising quickly, with no slowdown in sight,” SQM managing director Louis Christopher said.
“Australia’s national vacancy rate is being driven lower by falling vacancies in many of Australia’s smaller cities.”
A rental reversal looks set to continue in Sydney as a consequence of the flood of new rental properties in the market as well as inter-state migration.
“We are seeing a surplus of rental properties in Sydney and rental costs are falling, a trend we expect to continue into 2019,” Christopher said.
Sydney’s vacancy rate remained unchanged at 2.8 per cent and at its highest level in 13 years.
The asking rent for a three-bedroom house in the city remains the highest nationwide at $712 a week and $512 a week for two-bedroom units, though costs are falling.
Year on year, rents for houses and units have fallen 2.6 and 2.0 per cent respectively.
Melbourne’s vacancy rate remains steady at 1.6 per cent over October where asking rents for houses rose 0.4 per cent over the month to $526 a week while asking rents for units fell 0.1 per cent to $406.