Brisbane vacancy rates have been falling steadily throughout 2021. The Brisbane rental market is experiencing a vacancy rate of 1.3% as at September 2021 which is nearing record lows. The head of residential research at Core Logic, Eliza Owen, has recently stated that stock numbers for houses and units available for rent in Brisbane remains tight and is now placing upward pressure on prices. We are certainly seeing this in the current market with limited properties being advertised in the lead up to Christmas / New Year. For the first time in a decade, Brisbane inner city suburbs have experienced 3 consecutive quarters of rent increases, rising 6% in the year.
According to REA Group, renter activity is also on the rise with rental inquiries for greater Brisbane properties up almost 30 per cent year-on-year. Since the announcement of Queensland and Australian border opening later this year, Habitat Relocations is experiencing increased enquiry from interstate and overseas. Property managers that we work with regularly are also reporting increased tenant demand but fewer properties coming on the market to rent due to several factors including: less properties in property management portfolios due to investors selling and reaping the benefit current housing price rises; less tenant movement out of the Brisbane due to COVID lockdowns interstate and closed international borders; a surge in home renovations increasing rental demand; increased housing prices and APRA tightening may also see increased tenant demand as first home buyers are no longer able to afford to buy into the market and may be forced into long term rentals.
All in all we expect the traditionally busy January / February period to experience particularly intense in competition for reduced rental offerings in 2022 as well as continued rent increases.
What this means for new arrivals to Brisbane entering the rental market is that you will need to work hard to find your new rental home, prices will be higher than expected, you will certainly need to make some compromises and be prepared that it may take longer to secure a property in the current market. You will need put your best foot forward and offer a complete and competitive rental application to increase your likelihood of success. That means attaching strong rental references or proof of home ownership, attaching sufficient proof of income or savings to support asking rentals, you may need to offer pet references or offer a higher bond if you are seeking approval for a pet and you may want to consider other ways to personalise and increase the competitiveness of your application so it stands out from the crowd and maximises your chance of success.
Habitat Relocations works with many agents throughout the city and is experienced in what can work in a range of situations for a variety of people moving to Brisbane each with their unique requirements. We offer valuable assistance in searching for and securing your new Brisbane home - ultimately saving you time, energy and much stress. For further information do not hesitate to contact us.