Population driving surge in rental demand on Coast
THE Gold Coast is in the midst of a population boom, and that’s being reflected in tight vacancy rates across the housing market, according to the city’s largest real estate agency.
Ray White Surfers Paradise has a vacancy rate of about 1.4 per cent across its rental portfolio of more than 2800 properties. A vacancy rate below 3 per cent indicates a market where demand exceeds supply.
“Demand for rental accommodation has never been stronger and that’s a clear signal of the migration levels we are experiencing on the Gold Coast,” RWSP boss Andrew Bell said.
“Normally it takes anything up to a year to get a clear picture from official figures of this migration, but this is an early indication of the pace of growth of our population.
“While the city is expecting a bumper holiday season this year, and more to come with the Commonwealth Games just around the corner, more people are choosing to live here as well. It’s a symptom of two factors. First is the Coast’s improving jobs market, diversifying economy and our status as a sought-after lifestyle destination. Secondly, the cost of housing in Sydney and Melbourne has become so unaffordable that it is forcing people to relocate to a city such as the Gold Coast.”
RWSP recorded more than 6500 inquiries for rental properties in November, up more than 40 per cent from the same month in 2016. There had been months throughout the year where inquiries had been more than 7000 for a month.
“The strength of demand even spilled into December, which is traditionally a lot quieter for rentals,” Mr Bell said.
“Some of our rental properties are being inspected by up to 20 people a day. In select areas, such as Benowa, we’ve seen rents rise by as much as $150 a week over the past year.”
Mr Bell said properties renting from $350 to $500 were the most sought after.