Rental vacancies have fallen to their lowest levels in five years as Australia’s housing crisis worsens.
Rental vacancy rates decreased further in February, down by 0.1% to 1.47%, according to new data from PropTrack.
The research issued a warning that this would have an impact on rental costs, which are already at record highs.
The rental vacancy rate has now dropped to its lowest level since late 2018, demonstrating how hard it is to find a place to live, according to PropTrack.
That is especially noticeable in capital cities where there was a sudden tightening in February.
Perth has the lowest vacancy rate in the country at just 0.85%, and in the last three years, it has decreased by 69%.
At 0.92 percent, Adelaide’s vacancy rates are at a record low and have decreased by 45% since March 2020.
The vacancy rate in Sydney is only 1.7%, however it has decreased by 59% since March 2020.
The vacancy rate in Melbourne is 1.41% and has dropped by 52% since March 2020.
Brisbane’s current percentage is 1.30 and has changed by 55% during the last three years.
Darwin has the highest proportion of vacant housing at 2.53%, which has decreased by 50% since March 2020.
For the first time since the pandemic started, it is now more difficult to obtain a rental in capital cities than in rural areas of the nation, according to the research.
According to PropTrack, the sky-high prices and quick rent price rises are anticipated to continue this year due to the record-low vacancy rates.
PropTrack cautioned that there would be no relief for tenants in the upcoming months because rental demand was predicted to stay high.
“Due to the state of the rental market, rent rates are expected to keep rising quickly in 2023.
“During the course of 2023, the financial stress that renters presently experience across the nation will worsen.”
It happens at a time when the housing market has suffered as a result of the Reserve Bank of Australia’s repeated increases in interest rates, which are currently at 3.60 percent.
Property values have dropped 7.9% during the last year.
Australia’s total real estate market value has decreased from a high of $10 trillion in April 2022 to a low of $9.3 million in February of this year.
