This is a slower rate of growth than the last quarter of 2022 which saw Brisbane rents grow by 2.2%.
According to the latest CoreLogic rental market update, Brissie rents have now risen by 12.3% over the 12 months to the end of March 2023.
The growth in rent is due to the ongoing lack of rental supply. Brisbane vacancy rates are at 1.1%, which is well below the 2.5-3.5% range the Real Estate Institute of Queensland uses as a benchmark to indicate a healthy rental market.
This is in line with the national vacancy rate of 1.1% which is close to a record low for Australia.
“There’s already a chronic undersupply of advertised rental stock in many parts of the country that’s translated into record low vacancy rates across most capitals. Such a low number of available rentals is a key factor that pushed rental values higher again last quarter,” said CoreLogic Economist and report author Kaytlin Ezzy.
With the imbalance in supply and demand, rental pressure is tipped to continue, prompting some renters to consider novel options to meet affordability challenges.
“It’s likely some tenants are now sacrificing the spare room or home office and re-forming share houses that disbanded throughout COVID in order to share the rental burden,” said Ms Ezzy.
“Those who have the financial means to pull together a deposit might be taking the plunge into homeownership sooner while others are locking in longer leases, rather than brave the hunt for a new rental.”
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