The June quarter saw a dip in median rents for the area, now $420/week for a 2 bed apartment and the lowest we’ve seen since early 2011. We do need to remember this is a small rental market and the data can jump about as new apartment projects are completed. For example “Dutton Place” will likely add 100 new apartments in this current quarter, all with high average rents. Meantime rents in the CBD have spiked to $600/week so there’s now a very big saving for the short trip into this neighbourhood, and some ‘catch-up’ must be in the wind.
Local tenants are staying put more often, with leases extended and renewed, often well past the second year. New tenancy starts are down 24% on the same time last year and, handled well, a good tenant staying longer is a win for landlords. Our property managers are reporting success in increasing rents with a high percentage of renewing tenants. So there’s reason for landlords to have some cautious optimism.
Note: RTA stats quoted here cover all of postcode 4102 including Woolloongabba, Buranda and Dutton Park