Vacancy rates in Melbourne’s rental market are usually very tight, often sitting below the national baseline.
And thanks to soaring demand and a severe undersupply across Victoria, and the rest of the country, the national vacancy rate is exceptionally low today by historical standards.
SQM Research reports Melbourne’s vacancy rate at 1.5%.
By comparison, the vacancy rate which represents a balanced market, is around 2-2.5%.
Total capital city advertised rents rose by 0.5%.
Conversely, Melbourne recorded a 1.1% decline, indicating a softening in rental demand.
However, a rising population has pushed the city’s market into a high-pressure cooker environment.
The data for vacancy rates and also weekly rent listings still highlights that the distressing state of Melbourne’s rental market leads to a bleak outlook for renters.
Melbourne’s decline in vacancy rates and number of rental listings can be attributed to two factors:
- Investors are selling up.
- The city’s growing population. Melbourne’s population has been growing steadily in recent years, with more people moving to the city from interstate or overseas to take advantage of its job opportunities
