Sydney is now over $1,000 per week for the median rental house. That means half of the property is renting for more than $1,000/wk. A sobering statistic.
Brisbane is some 30% cheaper than Sydney and relatively provides excellent value. It’s easy to understand why the migration trend in Australia is from South to North, this trend accelerates when the QLD economy is doing well and there are jobs for people moving from Melbourne and Sydney.
While $1,000 per week is considerably more expensive that recent years and decades for Australian tenants there is a reality that the current supply/demand imbalance would indicate that rental growth continues, whether we like it or not. Good for landlords, not good for tenants with affordability concerns and those who don’t own property.
There are some interesting property and social trends that will be worth watching out for:
* The rise of specialized BTR property (Build to rent)
* Average household size increasing
* Children staying at home longer
* Government incentives to increase the housing supply will be generous
Property of the week: 13 Crowther St, Windsor
An example of what $1,000 per week will get you in a Brisbane rental property.
A five bed house in excellent condition located in a blue chip suburb only 5km from the Brisbane CBD.
* Quality location
* High demand school catchments
* Modern kitchen
* Dual living which suits flexible living arrangements for families
* Air-conditioned (A requirement for Brisbane!)
* A good sized and shaped flat and useable block of land
While $1,000 per week may seem like a lot of money, with a $6,000 bond payment required also, our multi-speed economy has a lot of people being able to afford the price.
Brisbane is still inexpensive compared with cities that act as global hubs and safe havens for capital such as Sydney, Hong Kong, Singapore, Zurich and many more.
Quotes I’m pondering
“Every Australian should have the right to a comfortable home at a price within their means – this is a fundamental belief of my government.” – Gough Whitlam, Prime Minister 1972-1975
Rent strikes..
The 1970s in Australia were a tumultuous period for renters, marked by significant activism around tenants rights and housing affordability. This was a time when the economic condition, characterized by inflation and a tightening job market, led to a squeeze on living conditions, particularly for lower income families and students.
Tenants faced not only steep rent increases but also a lack of maintenance and poor living conditions. This scenario set the stage for a series of rent strikes that are notable in Australian housing history. Landlords had significant market power and the current era of strong protection for tenants didn’t exist in the 70’s.
Whitlam significantly increased the social housing supply and did a lot of important work concerning development policies.
