There are more rental listings in Adelaide’s central and hills region than there were three months ago, a new report reveals.
An influx of rental properties on the market in Adelaide’s central and hills region is offering prospective tenants more options and the chance to negotiate reduced rental rates.
The ANZ and CoreLogic Housing Affordability Report for the June 2020 quarter reveals the number of rental listings in the region increased 5.3 per cent from 1060 in the 28 days to March 15 to 1116 in the 28 days to June 28.
It was the only South Australian region to record an increase in rental listings.
Adelaide’s west, north and south, as well as the state’s South East and Outback regions, recorded between 20.8 per cent and 35.3 per cent decreases during the same period.
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Harris property management director John Carey said winter was generally a quieter time of year for rentals, but fewer international students and Airbnb properties flooding the long-term rental market because of COVID-19 were contributing to the increase in listings in the city.
“The demand is slowing and that normally means you have an increase in stock,” he said.
“In the city there was already a high level of supply because of the number of developments and that goes back pre-COVID.”
Mr Carey said while the rest of the rental market was holding strong in comparison to other states, the increase in listings offered prospective tenants an opportunity to negotiate lower rates on city rentals.
“The rents in the city are very attractive and it’s a great time to move there,” he said.
“Landlords are having to adjust rents to meet the market.”
The report shows rents in Adelaide have dropped 2.2 per cent to $450 a week based on 404 listings in June.
It was a slight drop compared to Melbourne and Sydney, where rents declined as much as 7 per cent in some areas.
More listings on the market gives tenants the chance to negotiate reduced rental rates.
Ouwens Casserly property management director Adam Blight said it was harder to find rentals anywhere else in Adelaide.
“The rest of Adelaide at the moment is really tight,” he said.
“With our own rent roll, the amount of listings that we’ve got on the different portals is actually a bit down on what we’re used to and that’s because we’re leasing quicker.
“I think that a lot of people are just renewing their lease because rents can’t go up at the moment, we’re seeing a lot of people staying put now.”
Adelaide’s central and hills region’s increase in rental listings paled in comparison to the eastern states.
The inner Melbourne region recorded 52.7 per cent more rental listings in June compared to March, while Sydney’s city and inner south region recorded a 53.1 per cent jump.
The report cites job losses, particularly in the accommodation and food services industries, and the lack of overseas migration and visitation because of COVID-19 for the decreased in demand for rentals.
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