After months of harsh lockdowns sparking a rise in vacancy rates, we are starting to see some welcomed stability return to Melbourne’s rental market. In October, Philip Webb Real Estate leased 148 properties, a significant improvement after a relatively stagnant August and September.
A strong rental market relies on the economic security of its renters and rental providers, which were affected during the pandemic. As the city opens back up, we are seeing more confidence among renters. Those who work in hospitality or retail are now back at work and are more comfortable making financial decisions, like leasing a property.
In a continuous trend, houses in the outer east are popular and attracting a lot of competition. Families are still avoiding inner-city areas and opting for more space through three- and four-bedroom houses. Apartments remain the struggling sector of the rental market.
For renters in a competitive leasing market, I recommend being as prepared as possible. This means making sure your application is filled out and ready to go. Speak to your rental references and employer before applying for the lease. This way, they are expecting a call and won’t keep the property manager waiting. Ensuring you are prepared and efficient increases your chances of securing the keys.
Over the next 12 months, I predict rental prices will stabilise and vacancy rates will fall even further with the reopening of international borders and normalcy returning to our city.
If you are struggling to find a rental property or are thinking about leasing your investment property, give us a call today! We’d love to hear from you.