Pete Wargent blogspot

PERSONAL/BUSINESS COACH | PROPERTY BUYER | ANALYST

'Must-read, must-follow, one of the best analysts in Australia' - Stephen Koukoulas, ex-Senior Economics Adviser to Prime Minister Gillard.

'One of Australia's brightest financial minds, must-follow for accurate & in-depth analysis' - David Scutt, Markets & Economics Editor, Sydney Morning Herald.

'I've been investing 40 years & still learn new concepts from Pete; one of the best commentators...and not just a theorist!' - Michael Yardney, Amazon #1 bestseller.

Tuesday 31 October 2023

Rental crisis to worsen, again

Rental market mess

PropTrack's quarterly rental report showed rents rising +3.8 per cent over the third quarter, to be +14.6 per cent higher over the year.


Source: PropTrack

Those 'in the know' say that a further interest rate hike will be required in November to bring inflation down faster.

One of the problems with that is that a further hike in interest rates will send even more builders and developers broke, while knocking more property investors out of the rental market...in turn, ironically, increasing rental price inflation.

In Q3 2023, new rental listings crashed to their lowest level on record for this time of year (and that's ahead of the usual Xmas plunge). 


Source: PropTrack

Total listings are also at their lowest ever level for this time of year, and falling fast. 

Source: PropTrack

Sydney (-30 per cent) and Melbourne (-32 per cent) have each seen rental listings declining way below their 5-year average, and so too has Perth (-30 per cent), taking the vacancy rate for capital cities to an all-time low. 

PropTrack concludes, in short, that the rental market is, well, farked.

It's worth noting that there are still super-sized regulatory lending assessment buffers in place limiting the flow of credit for investors and those wishing to buy or construct new property. 

You can read the PropTrack rental report here.

---

P.S. Whenever you’re ready…here are 4 ways I can help you manage your own money and go next level wealth:

  1. Boom or Bust in 2023 – 20 minute online workshop for investors

Register for my next free online training - Boom or Bust? How to change your investment plan for 2023 - book in here

You also download a free copy of my e-book The Only 6 Ways to Become Wealthy here.

  1. Subscribe to our Top 10 Podcasts for Investors

Listen in to our podcasts

The Australian Property Podcast is one of Australia's biggest business podcasts.

And our enormously popular Low Rates High Returns Show is also available on Spotify.

  1. Subscribe for my free daily blog

Subscribe for my free daily blog with well over 3.4 million hits here. 

You can also catch up with me daily on Twitter here, where I'm active daily and have over 13,000 followers. 

  1. Work with me privately

For a limited time you can book in a free diagnosis call with me here. 

Posted by at