Melbourne rents to skyrocket

A drop in rental vacancies in Melbourne to 25-year lows is likely to push rents though the roof, according to a new report by the Real Estate Institute of Victoria.

The number of rental vacancies in Melbourne fell from 1.6% in July to 1.2% in September. The decline was most pronounced in outer Melbourne, where vacancy levels fell from 1.7% in July to 0.9% September, but vacancies in the inner city also fell significantly, from 1.5% to 0.9% in September.

The situation is only marginally better in regional Victorian centres, with Ballarat seeing the biggest drop in vacancies from 4.3% in July to 2% in September.

Only Geelong and the surrounding region saw a slight 0.2% improvement in vacancy rates to 1.6%.

The ongoing very low levels of rental availability in Victoria are a serious concern, REIV chief executive Enzo Raimondo says.

“The continual low vacancy rate will result in more upward pressure on rents, further reducing affordability and access to accommodation,” Raimondo says.

You can help us (and help yourself)

Small and medium businesses and startups have never needed credible, independent journalism and information more than now.

That’s our job at SmartCompany: to keep you informed with the news, interviews and analysis you need to manage your way through this unprecedented crisis.

Now, there’s a way you can help us keep doing this: by becoming a SmartCompany supporter.

Even a small contribution will help us to keep doing the journalism that keeps Australia’s entrepreneurs informed.