Is the rental market stabilising?
Things in the rental market are showing signs of stabilisation. Here in the LJ Hooker Mandurah office we track the trends and keep a keen eye on how the market is performing.
Over the past 3 months we’ve noticed the amount of properties listed for rent has begun to slow. This tightening in the market has meant that the number of rental properties available has dropped to its lowest level in the last 2 years.
So, what does this mean for landlords and tenants? Firstly, from a landlords perspective having less properties available means there is less competition out there in the market. This is a good thing and can help to stabilise prices.
From a tenant perspective this means that there are less properties available to view, meaning they are less likely to shop around or haggle when it comes to the advertised rental amount.
All this will hopefully add up to prices beginning to hold firm, which is good news for investors.
According to REIWA President Hayden Groves five regional centres saw their median house rent increase over the quarter, while five centres had steady rents.
“Rent prices in many regional areas took a hit following the slowdown in the mining sector. We’re now seeing stable or elevated prices emerging which is encouraging for landlords and property investors,” Mr Groves said.
Leasing activity in the Albany Urban Area, Mandurah/Murray, Greater Bunbury and Busselton Urban Area regions also improved in the September quarter. In Mandurah leasing activity increased by ↑ 4.6% and the number of house leased across the September quarter was 595 (stats REIWA.com)
Last month alone the LJ Hooker Mandurah team leased 37 properties which means we need more stock to satisfy our growing tenant database. If you’re thinking of renting out your property or have an investment that has sat vacant for a while call me today to discuss how our experience team can help you move forward.
Mark Labrow - 0431 025 449