Sydney vacancy rates rises to 2.2%

INNER Sydney’s residential vacancies have spiked to their highest level since August 2015, according to new research from REINSW.

The REINSW Vacancy Rate Survey for June 2017 saw the rate jump 0.3% to 2.2% over the month.

It was offset by declines of 0.2% to 1.4% in Middle Sydney and 0.1% to 1.7% in Outer Sydney, for the overall metropolitan area to remain steady at 1.8%.

REINSW president John Cunningham said more stock had entered the marketplace in Inner Sydney, which had seen a rise in availability as tenants take time to fill the available accommodation.

NAB’s latest quarterly Residential Property Index, released on Thursday, showed growth expectations for rents in NSW over the next year had lowered from 1.9% to 1.1% and from 1.8% to 1.6% over the next two years – albeit at the highest return in the nation.

Sydney’s apartment market was one of just two – alongside Hobart – slated for growth in 2017.

The REINSW found vacancies rose by 0.7% in the Illawarra to 2.5%, with Wollongong up 1.2% to 2.4%.

Newcastle was up 0.7% to 2.9% as the Hunter rose 0.2% to 2.3%.

Albury and New England returned the highest vacancies across the regional areas, with 3.1% each following minor increases and tightening respectively.

The Riverina was down 0.2% to 2.5%, and Northern Rivers by 0.1% to 1.6%.

Australian Property Journal