If you've been wondering whether the rental market is finally settling down, you're not alone. Insights released recently by the Australian Bureau of Statistics have revealed some interesting shifts.
After years of hefty rent increases from 2021 to 2024, we're finally seeing the market take a breather. Rental growth has slowed across most states since late 2024, and vacancy rates are creeping up – good news if you're a tenant, and important intel if you're a property owner.
Western Australia takes the crown for rental growth over the past six years, with median weekly rents jumping a massive 75 per cent from $350 to $613. Meanwhile, NSW still holds the title for most expensive rents at $650 per week, while Tasmania remains your best bet for affordable living at $430 weekly.
The Tenant Shuffle: What Property Owners Need to Know
One of the most revealing insights? About 2-3 per cent of rental properties change tenants every month – and this pattern has stayed remarkably consistent for five years. That's roughly one in every 40 properties experiencing a changeover monthly.
You'll notice seasonal spikes around January and July when leases typically end. It can be a good idea to budget for these peak periods when maintenance demands surge – think bond cleans, minor repairs, and property inspections.
Location Still Matters
Inner-city properties within 12.5km of major CBDs have been on the ultimate rental rollercoaster. These areas crashed hardest during 2020-2021, then bounced back with the strongest rent increases through 2024. Now they're leading the current cooldown.
Regional properties 75-100km from city centres showed the highest rental peaks among outer areas but are also moderating fastest. Properties beyond 500km from major centres, on the other hand, have remained stable throughout the entire cycle.
The research also found that inner-city properties require flexible maintenance strategies due to market volatility, while regional properties benefit from consistent, long-term maintenance planning.
The rental landscape continues evolving, but with market knowledge and a strategic approach, you can adapt your property maintenance and investment decisions to work with market conditions rather than against them.