news

Sydney delivers stellar rents

By webmaster

Sydney suburbs are dominating when it comes to rental returns, new research has revealed.

According to RP Data, Sydney regions accounted for 23 of the 35 best performing capital city rental markets over the past 12 months.

Woollahra in Sydney’s highly coveted Eastern Suburbs topped the list recording a 22.2 per cent increase in the median advertised rental price for houses from $900 in March 2010 to $1,100 in March 2011.

BurwoodBurwood, NSW Burwood, VIC houses came in third on the list, while AshfieldAshfield, NSW Ashfield, WA, North Sydney and Lane Cove all made it into the top ten.

All in all, Sydney also recorded the strongest rental growth of all capital cities with median advertised rents growing 5.3 per cent, followed by Hobart at 4.5 per cent and PerthPerth, TAS Perth, WA at 4.4 per cent.

RP Data senior research analyst Cameron Kusher said investors could expect rental growth to be quite strong during 2011, with capital city rents increasing by just 3.2 per cent in the past two years, well below the average annual rental growth level of seven per cent during the last five years.

“Although there was a surge in building approvals last year, in many instances this new supply won’t actually get to the market during 2011. Added to that is the strict bank lending criteria which now requires significant pre-commitment of sales within new developments.

“Because of this we are seeing fewer new high density developments taking place in inner city areas. These regions are particularly attractive for renters as they provide significant levels of amenity. With less new supply in most capital cities it is likely to create greater competition for available stock and result in rental increases.”

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%
Sydney delivers stellar rents
SPI logo