The cities experiencing the most rent growth
Australia’s rental market is no longer moving at the breakneck pace seen in recent years, although that does not mean conditions have become easy for tenants.
Data from Neoval shows national weekly rents now sit at $650 for houses and $625 for units, with annual growth running at 4.8% for houses and 4.2% for units.
Ray White Group Chief Economist Nerida Conisbee said the market was changing shape rather than weakening. “Monthly growth has flattened at a headline level, suggesting the surge phase has eased. However, beneath the national average, conditions remain firm in several parts of the country,” she said.
That variation is one of the key themes in the current market. The Gold Coast (8.6% annual growth) and Hobart (7.1%) recorded strong growth in house rents, while Perth (4.5%), Adelaide (4.2%), Brisbane (3.8%), Canberra and Darwin (both 2.9%) experienced more modest gains.
By contrast, Sydney house rents barely moved (1.2%) over the past year, while Melbourne’s actually went backwards (-0.9%).
The unit market showed more activity, with rents climbing in all major urban centres.
The biggest annual gains were in Adelaide (10.0%), Perth (8.3%), Brisbane (7.8%), the Gold Coast (6.9%) and Darwin (6.4%).
Lesser growth occurred in Hobart (5.3%), Sydney (4.3%), Canberra and Melbourne (both 3.6%).
Gold Coast leads the way
Another notable shift is affordability between cities.
The Gold Coast is now the most expensive market for houses at $950 per week, above Sydney at $810 and well ahead of Melbourne at $575.
The Gold Coast is also the most expensive unit market, at $770, compared to $730 in Sydney and $580 in Melbourne.
“This shift in relative affordability is notable,” Ms Conisbee said. “Historically, Sydney and Melbourne have dominated the upper end of the rental market. Today, lifestyle and smaller capital markets are competing at the top of the pricing spectrum.”
For investors, the message is clear: national rental growth has slowed, but local opportunities and pressures remain highly uneven. Markets with tight supply and resilient demand may continue to outperform, even as the broader market recalibrates.
Contact us to discuss how changing rental market conditions could affect your property investment plans.