A point we've been making for a while against the proponents of a supposed oversupply of Sydney dwellings.
We have covered off the details why this is the case on several previous occasions, including here and here.
Sure, we'll end up with too much supply of high-density stock in a few of the inner south suburbs, but on a city-wide basis it's not really been happening.
While seasonal decreases can be seen at this time of year, a vacancy rate of just 1.6 percent recorded by SQM Research for the city of Sydney really is low.
By way of comparison, the preceding boom in Sydney was pulled up in 2004 by with vacancy rates of 4.4 percent according to the REIA, and some 5.3 percent on the outer.
The southern state capitals have seen very little in the way of supply response due to market stagnation, and have lower vacancy rates still.
Vacancy rates remain much higher in Melbourne and 2.5 percent, with both Darwin and Perth seeing significant increases over the past year as the mining boom loses its sting.
SQM's latest release also noted that rents have declined in Perth, Canberra and Darwin over the past year, quite significantly in the case of certain property types.
Rents have, however, continued to rise over the past year in Sydney.