Apartment rents are tipped to soar in Australia, with new analysis showing the five Australian markets poised for huge increases.
CBRE’s Apartment Rent and Vacancy Outlook, suggests the most significant rental growth, will be in Sydney’s Eastern Suburbs, Parramatta, Melbourne North, Perth City and virtually all precincts in Brisbane.
It says median rents for two-bedroom apartments in these precincts will surge by $120 per week between 2023 and 2028.
“At the start of 2013 just four precincts in Australia had an average rent of over $600 per week for two-bedroom apartments, being the Sydney and Perth CBDs, Sydney’s Eastern Suburbs and Sydney’s Lower North Shore,” CBRE’s Pacific Head of Research Sameer Chopra says.
“By June this had grown to 20 precincts and by 2028 we expect 38 precincts – or over 70% of Australia’s two-bedroom apartments – to have a rent exceeding $600 per week.”
The report says 75,000 new apartments are needed each year to keep up with population growth.