Despite a slight turnaround in August, rental vacancies in Sydney are once again on the rise.
The Real Estate Institute of NSW Vacancy Rate Survey results for September 2020 show that rental vacancies in Sydney overall increased by 0.4 per cent, to sit at 4.1 per cent.
The inner and middle rings are the most harshly impacted, both hitting vacancy rates of 5.5 per cent. In contrast, the outer ring of Sydney dropped to 2.4 per cent, down 0.3 per cent from August.
“Many REINSW members are reporting that the rental market has slowed again across much of Sydney,” REINSW CEO Tim McKibbin said.
“Property managers are telling us that there are fewer properties coming onto the market and those that do are taking longer to rent.
“Older properties in need of upgrading are particularly problematic, as tenants become more picky about where they choose to live.”
Aside from Newcastle, where vacancies also rose, markets across regional NSW have tightened, no doubt a response to the exodus from the capital.
“Vacancies across much of regional New South Wales remain extremely tight,” Mr McKibbin explained.
“Albury and Coffs Harbour were the only areas to record an increase in vacancies over the last month.
“Feedback from our members in regional areas indicates that the exodus of tenants from Sydney is continuing, with people seeking out more affordable options further afield from the main metropolitan hubs.
“Tenants are seizing the opportunity to secure a rental property that suits both their budget and desired lifestyle.
“This month’s results show that COVID-19 continues to have a significant impact across the whole of New South Wales and it’s unlikely that things will settle for a while yet.”