Rental squeeze reshapes investor equation as unit markets tighten
Tight vacancy rates, rising rents and shifting affordability dynamics are placing income back at the centre of Australia’s property investment equation.
Every capital city is recording a vacancy rate well below the 2 per cent mark, with Adelaide the tightest, at just 0.9 per cent, followed by Perth at 1.1 per cent. Sydney has the highest vacancy rate at 1.7 per cent. (Image source: Monkey Business Images/Shutterstock.com)
Australia’s rental market is no longer just tight, it is reshaping the fundamental economics of property investment.
Inner-city unit markets, long considered the underperformers of the housing sector, are now leading a shift in the rent-versus-buy equation, as surging rents, limited supply and a gradual return of population growth combine to change investor behaviour.
According to CBRE’s latest apartment outlook, vacancy rates across major capi…
