According to latest report from CoreLogic, annual growth in rent values has re-accelerated. Annual growth in Australian rent values was 10.2% in the 12 months to November, a record high. This has partially been driven by growth in unit rents across Sydney, Melbourne and Brisbane, where rents have increased around 14-15% annually.

Through October, Australian gross rent yields rose to 3.71%, up from a recent low of 3.21% in January this year. Since the end of 2021, gross rent yields in Sydney have lifted 66 basis points, and 46 basis points in Melbourne. Adelaide out performed both cities again with 3.9%.

“Not a lot has changed in the Adelaide rental market recently. A lack of stock, especially for mid priced properties between $400-$500 per week has kept demand high and been partially responsible for driving rents up” General Manager of Property Management, Jane Looker, said.

“We had 35 properties available for rent during November, with an average rent of $599 per week. These properties generated 12679 views on real estate.com and resulted in 509 enquiries.”

Our top three properties for November were King Street, Mile End, Queen Street, Norwood and Malvern Avenue, Malvern. The average rents were $617 and views on Real Estate com averaged over 1000 per property.

“Several owners we have spoken with recently have their properties currently listed for sale but are second guessing themselves and want to find out what rent could possibly be achieved instead. This is coming off the back of the most recent interest rate rise and the strong performance of rents here in Adelaide.”

“Others are looking to head overseas for 12 months and lease out their family home. The quality of tenant is paramount to this group of people, who are confident in the knowledge that TOOP+TOOP has very robust tenant selection processes.”