February 24th, 2020Regional renting
RENTING in Victoria remains tough, following another month of low vacancy rates, says the REIV.
Its latest rental data shows that vacancy rates have remained stable across regional Victoria at 1.7 per cent through the month of January.
CEO Gil King says while 1.7 per cent is a very low vacancy rate, it is an improvement on the 1.2 per cent we were sitting on this time last year.
“A 3 per cent or 4 per cent vacancy rate is considered a healthy one; having vacancy rates as low as 1.7 per cent is not sustainable.
“Vacancy rates are low across the state, with the Geelong region sitting at 2.2 per cent, Bendigo at a very low 1 per cent, Ballarat on 2.1 per cent, the Wimmera region with the lowest rates in regional Victoria on a measly 0.7 per cent, Shepparton on 2.7 per cent, East Gippsland is hovering on 0.9 per cent, Warrnambool is tracking at 1.2 per cent with Mildura just ahead on 1.6 per cent and Wodonga and the Murray region has vacancy rates of 1.5 per cent.”
Mr King said there had been some relief for regional Victorian renters with the average rent dropping slightly to $350 a week.
“With vacancy rates staying below 3 per cent since March 2016 in Victoria, we simply need more rental properties across Victoria to help offset this demand.
“New rental homes are swamped with applications, and properties are only taking a short turnaround to be rented out.
“Sadly this means that many vulnerable families are still missing out on gaining access to a rental home, which is placing a lot of pressure on local welfare services.”
Mr King said landlords remained confused about the upcoming changes to the rental laws introduced by the Victorian Government, with many being apprehensive about how the new regulations will impact them.
“With low vacancy rates across Victoria, it’s already incredibly tough for a person to get a rental home; the REIV is deeply concerned of the impact that these rental reforms may have on the Victorian rental market.
“As always, if a buyer or a seller is looking for objective information on the market or an agency– they should visit reiv.com.au”
