Over the 2014 calendar year, advertised rental rates on a national basis increased by 2.6% for both houses and units.
Over the 2014 calendar year, advertised rental rates on a national basis increased by 2.6% for both houses and units. At a capital city level, the rental performance across the different housing stocks was more varied. House rents rose by 1.2% over the year, while unit rents outperformed the detached housing market, up 2.5% over the 12 months to December 2014.
Key rental statistics to December Quarter 2014
Capital city advertised rents remained unchanged over the final quarter of 2014, with house rents steady at $430 per week and unit rents recorded at $410 per week. Across Australia, house rents increased by 1.3% to $400 per week, while unit rents were unchanged over the three months to December at $390 per week.
For houses, the performance across each individual capital city market was varied. Hobart houses saw rents rise by the most, up 5.4% over the three month period, while Brisbane (2.5%), Adelaide (1.4%), Canberra (1.1%) and Sydney (1.0%) saw rents rise by a more moderate amount. Perth (-2.2%) and Darwin (-0.8%) were the weakest performing rental markets for houses over the three month period. Melbourne was the only capital city market to record no change, with weekly rents for houses stable at $385 per week.
The performance across the unit market at a capital city level was somewhat weaker. Hobart (1.8%) and Brisbane (1.3%) were the only capital cities in which rents rose over the three months to December, while all other cities saw rents fall over the last quarter of 2014 with the exception of Adelaide and Canberra where no change was recorded.
Nationally, advertised rents are 2.6% higher than they were in December 2013 for both houses and units, while across the combined capital cities house rents have risen by 1.2%, compared to a stronger level of growth for unit rents which rose by 2.5%.
Over the year to December 2014, for houses, the strongest performing capital city market in terms of rental increases was Hobart, where the median advertised weekly rental rate was 3.8% higher. Sydney, Adelaide (both 2.9%, Brisbane (2.5%) and Melbourne (1.3%) all had rents higher in December 2014 when compared to December 2013. Perth (-6.3%) and Canberra (-5.0%) were by far the weakest performing capital city markets for growth in advertised house rents.
Similar to houses, Canberra (-7.3%) and Perth (-4.4%) were the weakest performers amongst the capital city unit rental markets and were the only two cities to see rents fall over 2014. Unit rents for both Adelaide and Darwin remained unchanged over the year, while Hobart (3.7%) and Sydney (3.1%) were the strongest performers.
To read the CoreLogic RP Data Quarterly Rental Review click on the Download Report button at the top left of the page.