Tenants unable to pay higher rental prices, Domain data finds
New data from Domain indicates that Australia's rental market is cooling as tenants reach their financial limits, causing rent growth to flatline. Despite low vacancy rates, landlords are struggling to raise prices further due to widespread affordability issues.
Why it matters
This signals a potential turning point in the housing crisis where supply-side shortages are being offset by a lack of consumer purchasing power.
The rental market is slowing despite prices remaining at record highs. ( ABC News )
Despite severe rental shortages, landlords are struggling to increase rents due to tenants hitting their affordability limit.
New data shows rent is flatlining in most capital cities and has even fallen in a few in the past three months.
Although the market is slowing, with the national vacancy rate rising to 1 per cent, it is still much tighter than it was a year ago.
Link copied Share Share article Australia's rental market is beginning to lose steam despite rents remaining at record highs.
It is the rapidly emerging disconnect that experts say could suggest tenants are being pushed to the brink as rents flatline and even fall across most of the major capitals.
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