A+ R A-

Rental market vacancies stabilise across the South Australia

Adelaide 14 February 2013. The rental market has remained relatively stable over the past three months with little change in vacancy rates and median price ranges, according to the Real Estate Institute of South Australia (REISA).

 

Metropolitan Adelaide recorded a vacancy rate of 3.1% for the December quarter, whilst the regional areas recorded a vacancy rate of 3.7%.

 

Releasing the December quarter data, REISA commented that the market has recorded similar vacancies and comments to what we were seeing during 2012, with properties taking 4-6 weeks to lease in many situations, and tenants being particularly price sensitive.

 

Property managers across the State are consistently highlighting that the rental market is responding slower to filling vacancies and tenants are often only responding when the price meets the local market,” Mr Moulton said.

 

We’ve really seen price be a major factor in tenant’s decisions in the past 12 months and as there are slightly more properties available for lease, the tension between vacancy and price has eased.”

 

The western suburbs in the metropolitan area are still higher than other areas, and in the regions there has been a noticeable reaction to the slow-down in mining activity around the Upper Spencer Gulf.”

 

Reviewing rental median prices shows that little has changed over the past year and quarter. The metropolitan median price for houses in Adelaide is $320 per week, unchanged from the previous quarter and up from $315 twelve months ago. Regionally, the median house price is $250 per week, again unchanged from the September quarter of 2012 and up from $240 twelve months ago.

 

The unit and apartment market has recorded a rental median house price in metropolitan Adelaide of $270 per week and $190 per week in the regional areas.

 

The table below summarises the rental vacancy data for December 2012. Over 21,000 properties were included in the survey.

 

City/ North Adelaide – 3.0%

 

West – 3.7%

 

South – 2.3%

 

East – 2.4%

 

North – 3.7%

 

Hills – 3.4%

 

Eyre Peninsula – 5.0%

 

Upper Spencer Gulf – 3.6%

 

Mid North – 2.9%

 

Fleurieu/Kangaroo Island – 3.5%

 

South East – 4.9%

 

Riverland – 2.1%

 

Yorke Peninsula – 5.3%