Recently, my properties have had their leases expire, and the rentals for the new tenancies have been increasing. Not significantly, $240 to $250 and $350 to $360.
One of these properties is within the so-called flooded apartment market, located in St Melbourne.
Have others noticed rentals increasing?
james
James – I’d say the opposite is true in Sydney. There is a lot of stock not moving and plenty of room for negotiating rents down.
IMO rents are probably at the same levels as 5 years ago here in the up to $500pw market.
I did a review of rental prices in Mentone and South Frankston. Both in Melbourne. I reckon I could increase my rentals by $10 on each property.
Hi All..I have just increased my rent in Sydney from 310 – 315..not much but a start..if interest rates rise and some investors sell out couldnt this send rentals up due to supply and demand
Not a huge amount ($195 to $200 last month), but they do seem to be increasing slowly…
seyeidde, if interest rates rise significantly it is probable that the reaction will be to increase rents to cover the extra costs. However, this will also force the potential tenants to be way more choosey on what bang they get for their buck. This is where your creative improvements to your IP will benefit.
If you have IP’s in areas where there is not a lot of rentals available then it wont be felt as much.
Raises the question, where can I get stats on current vacancy rates for IP’s for selected areas?
Cheers,
Damon
In theory, there is no difference between practice and theory, in practice, there is….
Hi all,
Just adding my little bit – have been ratcheting up the rents on all properties in line with decreasing vacancy rates.
Derek
[email protected]Property Investment Support Available.
Derek are these decreasing vacancy rates mainly city or country properties as I have a property in Sydney and havent had any probs with vacancy, as soon as one goes I usually find another within 2 weeks or less
Certainly the stats I see indicate Perth and Brisbane rental market is firming. All we need is for more landlords to take a more proactive stance with their rentals.
Derek
[email protected]Property Investment Support Available.
WEll, rents on three of our 4 properties have gone up since May, each was only $5 a week more. Two have long term tenants who have stayed and the third is a unit that has always have short term tenants so time will tell on that one. (All in WA).
PK
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