Opportunities to find cheaper homes to rent in Sydney

We’re hearing a lot of talk about rents coming down in Sydney, and this is prompting people to either seek rent reductions from their landlords, or else move:

  • To a more expensive area that may now be affordable

  • To a larger home for the same rent

  • Out of home for the first time

  • In with friends for the first time

  • To live alone for the first time

and so on.

But is it true?

Yes, rents are coming down in some parts of Sydney

Sydney is really made up of many different markets. It is not one market. So we can’t really generalise and say that rents are coming down in all of Sydney - because they aren’t. Some areas have fallen a lot, whereas other areas have only fallen a little.

Vacancy rates have increased in areas that used to have:

  • Backpackers

  • AirBNB / short-term let homes

  • University students (particularly overseas students)

  • People from industries that have been most impacted by COVID: hospitality, arts etc

  • High-end properties that are no longer affordable

  • CBD locations where people may fly in and fly out for work

In areas that are least affected by the above factors, rental vacancy rates are actually fairly stable - they have risen slightly, but not by the 15%+ that we are seeing in other parts of Sydney

In many parts of Sydney, rents have come down by measures of between 5% and 15%. Other areas have not seen a change at all.

Is it a good time to move and take advantage of lower rents?

Possibly, yes.

Things to factor in:

  • The cost of moving

  • The cost of breaking your lease, if applicable

For many people, it’s a great time to move to a completely different area, perhaps:

  • Closer to the city / beaches

  • Further out in a larger home

  • Closer to work

  • Further from work (if you’re WFM) where you can enjoy a better standard / quality of housing

I have noticed a dramatic increase in enquiries from people who would like to move, but are unsure where in Sydney to move to that will give a better quality of life for the same or cheaper rent. If you’re thinking through options, get in touch and I’d love to help you.