Monthly rental analysis from CoreLogic RP Data shows that rental rates across Australia’s combined capital cities fell by -0.2% in June 2015, and with the annual rate of recording record lows.

Across the combined capital cities:

  • Rental rates are recorded at $487 per week and they have fallen by -0.2% over the month, are unchanged over the past three months and have increased by 1.1% over the past 12 months
  • The 1.1% annual rise in capital city rents is the slowest rate of growth on our records which date back to December 1995

CoreLogic RP Data research analyst Cameron Kusher noted that as a result of the ongoing dwelling construction boom, the sluggish pace of rental appreciation continued across Australia’s capital cities. “In particular, a high proportion of the inner city unit development is being targeted by domestic investors and foreign purchasers,” he said.

Across the individual capital cities over the past year:

  • Sydney and Hobart have recorded the greatest increases in weekly rents
  • Over the past three months rents are lower in all cities except for Sydney, Melbourne and Canberra
  • Sydney and Melbourne are recording relatively stronger rental growth despite a large surge in new supply and high levels of investment purchasing
  • Sydney & Hobart recorded the greatest annual increases in weekly rents while rents in Perth, Darwin & Canberra continue to decline.
  • Combined capital city rental rates fell by -0.2% in June
  • The rate of rental growth is slowing and continues to rise at its slowest annual rate on record
  • Combined capital city rental rates are recorded at $487 per week
  • Rents rose by 0.1% over the quarter & 1.1% over the past 12 months
  • With home values growing faster than rents, gross rental yields are at a record low level and continue to edge lower

ENDS.


 

Download the full June Rental Review - click here

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