West End rents flat
The latest RTA data is out and the graph below shows rents stayed the same during the December quarter, still the $450 per week for a 2 bed apartment we’ve had since September of 2008. After booming rents in 2007/2008 the demand/supply equation evened out during 2009.
Some new rental supply was added with the “SL8” apartments (112 of them) in Musgrave Street, and combined with some tenant job losses there’s been less local competition for homes. Many tenants became first home owners so this also reduced the rental demand.
The median rent for three bed houses did drop back to $450 but with just a few bonds lodged (median rents are only calculated on new tenancies) it’s hard to make any sweeping statements on that. Obviously new houses aren’t been added to the market in any great number.
Despite the flat rental prices this remains Brisbane’s most expensive rental area outside the CBD. Looking ahead we’d suggest rents will continue to grow as the suburb’s popularity is definitely on the rise and we anticipate very few new homes being completed over coming months.
Note: The RTA groups all of postcode 4101 including Highgate Hill and South Brisbane, so the stats quoted here cover the 3 suburbs.
Visit www.WhatRentMyHome.com.au for the latest median rents on other Brisbane suburbs or email me at firstname.lastname@example.org if you’d like a rental market estimate for your property.