Houses of rent hope
RENT hikes are looming for Geelong tenants amid surging property values and the recent lifting of a statewide ban on price increases.
Geelong agents are reporting huge demand from tenants, with houses frequently leased before they even hit the market.
McDonald & Co director Tanya Di Loreto said the city’s low vacancy rate was contributing to a housing crisis as affordable rentals were in short supply.
She said single tenants were among the hardest hit and often couldn’t pay the $400-plus weekly asking price for a one-bedroom residence.
“A lot of people are very disheartened with what they can get for their money,” Ms Di Loreto said.
“It is difficult and the prices are certainly on their way up because properties have become more valuable over the last six months.”
In a bid to increase Geelong’s affordable housing stock, Ms Di Loreto has teamed with Release Property Geelong West director Renee Reynolds to build two new eight-bedroom rooming houses in Hamlyn Heights.
The first two-storey property has just been completed and soon will be available to lease for about $280- $320 a week, including electricity and basic furniture.
Each of the eight studio-style rooms has its own bathroom and kitchenette, with private balconies upstairs and outdoor spaces off the downstairs bedsits, plus a number of on-site carparks and easy access to nearby shops and public transport.
Ms Di Loreto said it was aimed at mature-age tenants who might otherwise not be able to afford to live in a new property.
The most recent Victorian Rental Report, released by the state government, revealed just 13.9 per cent of rentals in the City of Greater Geelong were considered affordable in the December 2020 quarter. And not one single-bedroom property was considered affordable in that period.
Fellow developer Ms Reynolds said the new rooming house would help fill a gap in the market.
“We find a lot of professionals or people working in Geelong are looking for these, there is high demand for them,” she said.
Buxton rental department manager Jessica Begg-McColl said properties across the board were attracting 10-15 inquiries within an hour of being listed.