fbpx

Vacancy Rates Are at an All-Time Low, But There’s Hope on the Horizon

Dear Santa, 

I’ve been a very good boy this year and, for Christmas, I’d like you to fix Australia’s housing market. 

Sincerely,
Joel

If Santa didn’t die in AD 343, this is the letter I’d send him. Because the housing market is completely cooked, and it’s not getting better fast enough.

As of November, the national vacancy rate was at an all-time low of 0.8%. This is the second month in a row that it’s held at such a minuscule number.

As the property advertiser Domain has said, “All capital cities are in a landlords’ market, worsening an ongoing rental crisis. This is driven by low supply and high demand, creating a highly competitive environment for tenants.” 

However, it’s not all rubbish news. There is hope on the horizon. Fortunately, some capital cities enjoyed a bump in the right direction. Here’s where vacancy rates are sitting at in Australia’s capital cities:

Sydney’s Vacancy Rate

Sydney’s November vacancy rate was 1.1%. During October, it went up by 0.1%. This is the first increase since December 2021. 

Brisbane’s Vacancy Rate

Brisbane’s November vacancy rate was 0.7%. During this month, it went up by 0.1%. This is the third consecutive month that this number has climbed. 

Adelaide’s Vacancy Rate

Adelaide’s November vacancy rate was 0.3%. During this month, it went up by 0.1%. Thus, Adelaide’s numbers still suck. 

Related: Scotland’s Rent Freeze — Should Australia Follow Suit?

Related: Plunging House Price Predications Should Be Taken With a Grain of Salt

Hobart’s Vacancy Rate

Hobart’s November vacancy rate was 0.4%. During this month, it went up by 0.1%. These numbers aren’t much hotter than Adelaide’s stats. 

Canberra’s Vacancy Rate

Canberra’s November vacancy rate was 1.2%. During this month, it went up by a whopping 0.2%. This is the highest Canberra’s vacancy rate has been since December 2020

Australia’s Vacancy Flops

Two of our capital’s vacancy rates remained steady. Both Perth’s 0.3% and Darwin’s 0.9% didn’t budge. 

Moreover, the vacancy rate in Melbourne got worse. During November, this joint’s rate was 1.1%. Meanwhile, in October, it was 1.2%. 

“If this downward trend continues, Melbourne will return to having a tighter rental market than Sydney,” said Domain.

Read more stories from The Latch and subscribe to our email newsletter.