Professionals Armidale 
Over the next year, it is expected that rents will continue to rise due to strong demand and limited supply. This increase in demand is being fuelled by low first-home buyer purchasing and an uptick in migration, while decreased supply is due to fewer investor purchases and heightened selling by investors. Furthermore, the rental demand has shifted back to major capital cities as they recover from the pandemic, reversing the trend towards regional areas.
Although in some areas, such as inner-city units in Sydney and Melbourne, rents have remained stable or have only increased marginally since the start of the pandemic, it is anticipated that rents for inner-city rentals will continue to rise as demand increases further.
“Our property management philosophy is simple –
to minimise arrears, vacancies, and expenses, and to maximise your return”
However, it seems unlikely that there will be a significant increase in rental supply in 2023. With the share of new lending to investors continuing to decline and higher interest rates reducing the capacity for borrowers to access an additional mortgage, it is expected that there will be little change in the rental market. While there are more build-to-rent projects in the pipeline, it is uncertain if the volume of stock in these projects will be sufficient to meet the growing demand for rentals from both domestic sources and overseas migrants.
Unfortunately, this lack of supply is expected to result in further increases in the cost of renting.
Professional Armidale Landlords Newsletter – March 2023
By Jamie Williams
Director
Head, Property Management / Investment Specialist
Professionals Armidale
M: 0481 173 322
P: 02 6772 4549
