Rental prices drop across one third of Sydney suburbs
Rents have fallen or frozen in more than a third of Sydney's suburbs over the past year in breakthrough signs of the rental crisis easing.
Latest rental data from PropTrack has showed median rental prices have dropped or stayed stagnant across over 250 Sydney locales. Falls in average rents were as high as $350 a week in some areas.
It's a notable change from the period between 2022 and 2024, when rampant hikes in rent were the norm across nearly every suburb – driven by post-Covid international boarders reopening, soaring migration, tight rental vacancies and high interest rates.
The recent shift will be welcome news for renters considering almost half of NSW tenants polled in a recent Residential Audience Pulse survey by realestate.com.au said they're experiencing financial difficulty due to high rents.
Wild number of Aussie millionaires revealed
Suburbs with some of the biggest rental decreases over the past year included Woollahra, Bondi Junction, Forest Lodge, Kensington, Beaconsfield, Peakhurst and Matraville, with rents in these areas falling $100-$350 a week.
There was multitude of other suburbs where the fall in rents was about $50 a week, which would save tenants about $2600 a year. Much of that decline occurred over the last three months, coinciding with moves by the Reserve Bank to cut interest rates.
PropTrack economist Anne Flaherty said it was a positive change for Sydney tenants who faced the highest levels of rent across the country.
'It's really good news for renters,' she said. 'The level we saw rent rises, particularly over 2023 as really extremely high and for a lot of renters it was that fear every time that negotiation time came around we were seeing some big jumps.'
'The fact that we have seen the rate of growth slowed to what's hopefully a more sustainable level it's given more people to plan ahead.'
Many of the suburbs that were falling were areas with a lot of apartment stock or the higher end of the market, she added.
Rate drops had seen an increase in investor activity in NSW, which of 19 per cent over the 12 months to March, could be contributing to the drops.
'Although increased investor activity isn't great news for first home buyers, it can be a good thing in that it increases the supply of rental properties coming up for rent and can slow the rate of growth and provide a bit more supply and choice out there for renters.'
This trend could continue later in the year as more first home buyers transition from renting with first homebuyer schemes coming into affect and more potential rate drops come into fruition.
Regional NSW was not seeing the same levels of relief as Greater Sydney.
'I think because of that affordability piece, we do see a high portion of people leave greater Sydney and move to regional NSW.'
Louis Christopher, Managing Director of SQM Research noted that the rental market remains tight in many areas.
'Landlords appeared to have reduced their rental expectations somewhat and the overall rate of rental growth has slowed since 2024 … yet the rental crisis does remain with us.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
ABC News
30 minutes ago
- ABC News
WA's public holidays may be changed, Premier Roger Cook says as King's Birthday marked
Western Australians could soon see a realignment of public holidays to coincide with the east coast and have an additional public holiday added to the calendar as soon as next year, WA Premier Roger Cook has said. Mr Cook was quizzed at a media conference this morning about WA's public holiday calendar, given WA Day fell last Monday and not today with the King's Birthday public holiday. Unlike the ACT, New South Wales, Tasmania, South Australia, Northern Territory and Victoria, who celebrate the public holiday on every second Monday in June, WA usually marks the day at the end of September. "I do want to see a greater alignment between Western Australian public holidays and east coast public holidays," Mr Cook said. "It's ridiculous you have a situation where Western Australia closes its doors or shuts the shop when the east coast is open for business, and today of course you'll have frustrated members of the Western Australian business community that can't access their colleagues on the east coast." Mr Cook said there was "definitely a case" for a realignment of WA public holidays with the east and indicated it was something his office was currently working on, suggesting changes may be in place for next year but "probably 2027". He also said he was exploring an additional public holiday and was taking feedback from the business sector and the community about adding another to WA's calendar. "We're a part of a national economy and we should be working together much better to ensure better alignment around these days." The premier did not rule out an additional public holiday and said he was reviewing all WA public holidays — particularly WA Day given it falls in the middle of winter. "I'm reviewing the whole range of public holidays we have in Western Australia and where they land to make sure that we've got better alignment and that they work better for the WA community," he said. "Why is it that we had a public holiday last weekend but not this weekend, when they have a public holiday on the east coast? It's just something I think we need to have a look at." But Mr Cook said his "primary focus" in the review was looking at any realignment and how that would work. When asked by a reporter if a potential extra public holiday would celebrate his former colleague and be coined 'Mark McGowan Day', the premier gave a tongue-in-cheek comment. "Well, it's something that's been put to me very enthusiastically and vigorously by Mark McGowan," he laughed. He said the decision to add another public holiday "won't be taken lightly" and indicated the business community had told him they were interested in having the holidays aligned with the east coast.
News.com.au
an hour ago
- News.com.au
How life will change for millions of Aussie from July 1
From minimum wage increases to a crackdown on tobacco, a number of changes will come to effect for millions of Australians from July 1. State and federal governments typically use the new financial year as a starting point for a range of regulatory and legislative changes. Among this years changes are an increase to the minimum wage and changes to skilled migration. The NSW and Victorian governments will also crackdown on tobacco with new licensing schemes. See the full list of changes here: National – The minimum wage will increase by 3.5 per cent from July 1. The Fair Work Commission will raise the National Minimum Award to $948 per week or $24.95 per hour, which will apply from the first full pay period starting on or after July 1. The minimum award wages will increase by the same percentage. – A number of changes to superannuation will come into effect from July 1. On that day, the superannuation guarantee rate will increase to 12 per cent. The new percentage will be applied to all salary and wages paid to eligible workers on or after July 1, and will mean employers will have to pay a minimum of 12 per cent to an employees superannuation fund. The maximum super contribution base will meanwhile decrease from $65,070 to $62,500. – From July 1, Services Australia will lift the number of Parental Leave Pay days from 110 to 120 for children born from that day. Parents, including of adoptive children, will be able to claim up to three months before the date they expect the child to 'enter their care'. – Skilled visa income thresholds will be increased by 4.6 per cent from July 1, when the annual indexation takes affect. The Core Skills Income Threshold and Temporary Skilled Migration Income Threshold will increase from $73,150 to $76,515 while the Specialist Skills Income Threshold will increase to $141,210. – The sorts of products smokers can purchase is set to change from July 1. In the new financial year, a raft of changes to tobacco sales will come into full affect, including the banning of flavoured or menthol cigarettes, the removal of names such as 'smooth' and 'gold', packets will ne standardised at 20 cigarettes, as well as the rolling out of consistent shapes and sizes, and new health information. Many of the changes have already been implemented. NSW – From July 1, NSW will finally have a tobacco licensing scheme. Retail businesses selling tobacco and non-tobacco smoking products will required to notify NSW Health, with stiff penalties for any breaches. – A new Community Services Industry portable long service leave scheme will be introduced on July 1. It will give workers in the community services industry, who often work with multiple employers, access to long service leave after seven years of service to the industry with one or more employers. – Improved protections for renters are slated to come into effect from July 1, including making it easier for accessibility infrastructure to be installed, providing evidence that an animal is an assistance animal, and obtaining approval for minor renovations. – A raft of changes to strata in NSW will come into effect from July 1. They include new strata committee duties, protection for owners in strata from unfair terms, increased penalties for developers, and other improvements to strata laws. – Community land law changes will also take effect from July 1, including ensuring that sustainability is discussed during annual general meetings, that requests to change association property for accessibility infrastructure only needs a majority vote at an association meeting, and that by-laws don't ban sustainability infrastructure based on appearance – except if it is a heritage property. Victoria – New rules requiring motorists to slow down to 40km when passing workers on the roadside, or stationary or slow-moving vehicles (travelling at 10 km/h or less) displaying flashing lights, will be introduced from July 1. Previously applicable to emergency and law enforcement vehicles, motorists will now also have to slow down for other vehicles, including accident towing trucks, roadside assistance, and incident response vehicles. – From July 1, tobacco retailers and wholesalers will be required to apply for a licence to sell tobacco products. Tough penalties will apply for those found contravening the new regulations, inducing a fine of $829,878 for anyone operating without a licence or caught possessing or selling illicit tobacco. For an individual, it is $165,975 (or five years prison. – A planning permit will not automatically be required for a venue with a liquor licence in Victoria beginning July 1. – The payroll tax free threshold will increase from July 1 to will be lifted from $900,000 to $1,000,000 for annual returns, and from $75,000 to $83,333 for monthly returns. – The Victorian Default Offer, a set electricity price, will be set at $1675 from July 1. Queensland – Annual rent and eligibility checks for all social housing tenants will be reintroduced from July 1. The checks will confirm if tenants still meet income thresholds. – People convicted of a crime with pay more from July 1, when the Queensland government indexes the rate of a penalty unit. From that date, a single penalty unit will rise from $161.3 to $166.9 for most offences covered under state legislation, as well local law penalties. Western Australia – Reforms to WA's public sector will begin to take effect from July 1. They include the transition of the Department of Jobs, Tourism, Science and Innovation to the Department of Energy and Economic Diversification and a new Office of Defence Industries. A new Department of Mines, Petroleum and Exploration will administer and drive the future development of the resources industry. – Rebates will be made available for residential solar batteries of up to $1300 for Synergy customers and up to $3,800 for Horizon Power customers from July 1. The reforms are aimed at allowing more households access to batteries and rebates. South Australia – The SA government will implement cost of living measures from July 1, including capping the price of a 28-day student pass on the MetroCard to $10 – down from $28.60. The change means a trip for a student on public transport will cost about 25c. Tasmania – RBF Life Pensions, Interim Invalidity Pensions, and Parliamentary Pensions will be indexed in-line with reflation and a Consumer Price Index of 1.150 per cent on July 1. – TasWater, Tasmania's water and sewage utility, will increase its prices by 3.5 per cent from July 1. The average residential customer will see an increase of about 12.04 cents per day. – From July 1, the electoral reforms will establish a new scheme for disclosing political donations and electoral expenditure in parliamentary elections, and administering public funding in relation to House of Assembly elections in Tasmania. Northern Territory – The payroll tax-free threshold will increase to $2.5m on July 1, with maximum annual deductions also increased to $2.5 million maximum annual deduction to $2.5 million  Australian Capital Territory – On July 1, the ACT government will raise the minimum age of criminal responsibility from 10 to 14. – A short-term rental accommodation levy will be introduced in the ACT on July 1. It will apply to books of no more than 28 days. – The ACT Public Service will be restructured from July 1, including directorate mergers, function transfers and the creation of the new Digital Canberra directorate.
News.com.au
an hour ago
- News.com.au
‘Unbelievable': Qld cracks whip on social housing rorters
The Queensland government is cracking down on the income of social housing tenants, as figures reveal people earning far above income thresholds are benefiting from subsidised housing. 'Labor turned a blind eye for years,' Housing Minister Sam O'Connor said on Monday. 'They stopped checking if people still qualified for social housing, and they let rent reviews fall by the wayside. 'It's unbelievable they let people on six-figure incomes stay in social homes for years while others in urgent need were left on the social housing waitlist.' Information released by the state government on Monday showed a small number of notable rorts were being carried out by social housing tenants. A Brisbane couple who earnt $200,000 (before tax) were living in a subsidised rental paying $200 a week, Mr O'Connor said in a statement. The government says it has identified a household in Moreton Bay, being paid almost $3500 a week (before tax), occupying a large social housing property and paying $270 a week – this property would rent for $650 a week on the open market. In another example, a Townsville family earning more than $160,000 a year (pre-tax) paid less than $190 a week in rent when Townsville median rents were $500 per week. A statement from the minister said these tenants were 'earning' these salaries – NewsWire has confirmed with his office that the figures are pre-tax. In Queensland, a single person with no kids must take home less than $610 a week to qualify for social housing. A couple with two kids cannot be earning more than $1000. As it stands, social housing tenants must pay 25 per cent of their income on rent; this will remain under the new shake-up. However, under the crackdown, all social housing tenants will be subject to annual rent reviews. If someone is paying less than 25 per cent, annual rent hikes will be capped at $15. Any tenant who cannot verify their income will then have to pay market rent and then will be evicted. The crackdown has a focus on households with spare bedrooms. Figures provided by the minister say 8000 social housing households are 'under-occupying' their homes by two or more bedrooms. People would not be forced to downsize, Mr O'Connor said. Instead, removalist costs or rent-free periods would be offered as incentives. 'We're empowering our housing officers to do what they do best – support the Queenslanders who most need a roof over their heads,' Mr O'Connor said. 'These are long overdue changes to fix the system so it's better targeted to help the people who need housing most.' There are more than 52,000 people on Queensland's social housing waitlist.
