news

Rental rates improve for high-density market

By Staff Reporter

Units have seen improved rates over the past 12 months, offering better returns for investors in most capitals.

New figures from Onthehouse.com.au have highlighted that Tasmania is one of the country’s strongest markets for value growth; however, yields in the region are expected to fall.

Hobart recorded the highest level of rental rate growth for units, climbing 7.0 per cent over the past 12 months to reach $305, while houses increased by 1.4 per cent to $375.

In the ACT, units rose 2.5 per cent to $415 while houses remained unchanged at $500.

In Brisbane, units rose 1.3 per cent to $385 and houses fell 1.1 per cent to $450.

Melbourne’s units rose 1.2 per cent to $410 while houses dropped 1.1 per cent to $455.

In Sydney, units rose 0.9 per cent to $555 and houses dropped 2.3 per cent to $650.

Adelaide’s units fell 1.6 per cent to $305 while houses rose 2.7 per cent to $380.

In Darwin, units dropped 11.5 per cent to $425 while houses decreased by 6.0 per cent to $545

In PerthPerth, TAS Perth, WA, units decreased by 10.5 per cent to $385 while houses fell 5.5 per cent to $430.

Across the country, units remained steady at $420 and houses climbed 1.2 per cent to $430.

Eliza Owen, market analyst for Onthehouse.com.au, said that while the value of units in Hobart increases, rental yields are likely to fall, depending on the rate of wage growth in the region.

“Should Labor win government in the upcoming July 2 election, the Opposition Leader has pledged $150 million to the University of Tasmania and small business incentives to encourage a culture of further education, which could create long-term job and growth prospects,” she said.

“Over the next few months, I would expect to see lower rates of growth across Australian housing markets.”

Rental rates improve for high-density market
SPI logo
Thank you.

Your enquiry has been sent to a local Aussie Mortgage Broker.

We will be in contact with you shortly.
Opps.

error occurred.
Unfortunately Aussie cannot attend to your home loan related enquiry at this stage as you must be a citizen or permanent resident.
Do you need help finding the right loan for your investment?
What Aussie do for you:
  • Give expert mortgage advice to help you find great investment loan deals
  • Help you maximise return by lowering financing costs
  • Save you time and effort by helping with the paperwork
First name
Last name
Location
Mobile Number
Are you an Australian Resident?
promoted stories

Top Suburbs

Highest annual price growth - click a suburb below to view full profile data:
1.
BLUE BAY 49.18%
2.
PAMBULA 43.5%
3.
BERKELEY VALE 42.74%
4.
POINT PIPER 40.52%
5.
NORTH TURRAMURRA 38.12%