Landlords in some of Sydney’s most popular inner city suburbs have been forced to slash their properties rental prices by hundreds amid the COVID-19 crisis.
New research obtained by realestate.com.au reveal that average advertised rents are more than 10 per cent cheaper than they were a year ago in Pyrmont, Potts Point, Chippendale and Bondi Junction.
In Sydney’s CBD, apartments are being listed for 14 per cent cheaper than a year ago.
In Surry Hills, Redfern and Waterloo, a fall of about 8-9 per cent was recorded.
Just under 30,000 Sydney properties were reportedly vacant at the end of April, which constitutes approximately four per cent of all rentals. In March, there were 21,500 vacant properties.
According to SQM Research managing director Louis Christopher, a further fall in rent will happen if vacancies continue to rise.
“It will be good news for tenants but a disaster for landlords,” he told news.com.au.
It’s believed these vacancies come after tenants lost their jobs and were forced to move, as well as a drop in international student numbers. Another suggestion is that some Airbnb properties are being converted into rental listings, therefore increasing the availability of rental properties.
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