The REINSW Vacancy Rate Survey results for July 2020 shows that overall vacancies in Sydney increased for the fifth straight month, while many regional areas have dropped.
The total vacancy rate in Sydney sits at 5.0 per cent, up 0.5 per cent from June, and up 2.0 per cent since March.
Surprisingly, while the rest of the state seems to be in disarray, the rental market in inner-city Sydney has calmed somewhat now, sitting at 5.3 per cent, down 0.5 per cent from June.
“Vacancies in Sydney’s ‘Inner Ring’ hit a high last month, to be 5.8 per cent,” REINSW CEO Tim McKibbin said.
“Even with the 0.5 per cent drop in July, the vacancy rate for Sydney’s inner suburbs is still 2.8 per cent higher than it was back in March.
“Sydney’s Middle Ring increased for the fourth successive month and is now 5.4 per cent, up 0.2 per cent from June and 2.2 per cent from March.
“The real surprise this month comes from Sydney’s Outer Ring, where vacancies increased sharply.
“Vacancies have been steadily trending downward since March, as inner-city tenants relinquished properties with higher weekly rents for more affordable options in the suburbs more distant from the CBD.
“However, July saw a rise of 1.7 per cent in just one month.”
Little vacancy in regional areas
“This month’s results show that COVID-19 is having a significant impact across the whole of New South Wales and it’s unlikely that things will settle for a while yet,” Mr McKibbin said.
In the regional areas, that’s translating to a tight rental market with vacancies in the Northern Rivers region dropping by 1.5 per cent to 1.1 per cent, and the South Coast region decreasing from 2.7 per cent to 1.4 per cent.
The Central Coast, Central West, Coffs Harbour, Mid North Coast, New England, Orana, and the Riverina all reported drops.
Only Albury and the Murrumbidgee region recorded increases in vacancies.