Australia’s rental market experienced a slowdown in rental price growth and signs point to more than just a winter lull. Rental prices are declining or the rate of increase has eased or stalled across most capital cities. The misalignment between supply and demand is still on full display across Australia’s rental market, with each capital city operating with a sub-2% vacancy rate, so tenants remain in a landlords’ market.

Sydney is the most expensive city for renters in Australia. The median rent in NSW is $825 a week for houses and units. Rents increased 12% in the year leading to March 2024.

Supporting the slowdown in rental growth has been an improved vacancy rate. Sydney is at a six-month high. It is typical for vacancy rates to rise over the winter months – a seasonally quieter time – which is helping to provide some short-term respite from the steep rent increase observed over the past few years.

Rental demand is easing, as the number of prospective tenants per rental listing has consistently fallen throughout 2024. This aligns with overseas migration passing a peak and being expected to decline further in the year ahead, continuing to ease demand with the federal government-introduced migration strategy that will slow population growth.

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Apartment Options

1 Bedroom

• Area: Surry Hills
• Rent: $680 weekly

2 Bedroom

• Area: Bondi
• Rent: $970 weekly

3 Bedroom

• Area: Paddington
• Rent: $1,300 weekly

4 Bedroom

• Area: Cammeray
• Rent: $1,650 weekly