Happy New Year! And we have a happy rental market too! It’s happy, but the vacancy rate is rising in Geelong while it is falling everywhere else as the below chart shows with data from the REIV.
A high vacancy rate should, in theory, give tenants more choice in rental properties which should decrease demand which should lower rental prices.
But the high vacancy rate is not putting downward pressure on prices.
In fact, three out of our four reporting categories have shown increases in the median rents this month.
2 bedroom houses have remained at $380 per week for the third month in a row, but there are increases and new highs this month’s data. 2 bedroom units have increased to $388 per week, 3 bedroom houses are renting for $10 more at $450 per week, and 4 bedroom houses have increased $5 to $520 per week across our region.
At Geelong Property Managers, we have been quiet in January with not much stock for rent so we haven’t really felt the affects of this data, but we will have many more properties available for lease next month.
If you have any questions about the state of the rental market, please feel free to give us a call on 5277 2727. You can also connect on our Facebook page too.
Our page can be found at https://www.facebook.com/GeelongPM