THE number of rental properties under $400 a week in Victoria’s north-west has fallen almost 24 per cent over the past three years.
Australia-wide, the number of rentals under the same threshold has hit a record low as the country’s “chronic” rental shortage continues.
According to property analysis company PropTrack, the share of total Australian properties listed for rent on realestate.com.au for less than $400 a week fell to just 16.2 per cent last month.
North-west Victoria, known for its relatively more affordable rentals, has not been exempt, despite not recording as drastic of a decline.
The number of rental properties under $400 in the region dropped from 90.1 per cent in March 2020 to 66.6 per cent in April this year.
In regional Victoria the number of properties under $400 dropped from 76.57 per cent in March 2020 to 36.50 per cent in April.
“Current rental conditions are incredibly challenging,” PropTrack said.
“In April, national advertised rents soared 11 per cent year-on-year, and vacancy rates were at, or close to, historic lows in most capital cities.”
The current vacancy rate for north-west Victoria is 0.7 per cent, 0.37 per cent lower than it was before the pandemic.
PropTrack said strong demand, bolstered by rising immigration, was outstripping the supply of available rentals across the country.
“As a result, the cost of renting is climbing and the share of rental listings under $400 a week has fallen,” it said.
According to CoreLogic, the median weekly rent for a house in Mildura is $417.
The median value increased 2 per cent from the start of this year and 10.3 per cent from April last year.
PropTrack said rental markets were in “dire straits, with little sign of meaningful reprieve on the horizon”.
“Advertised rents are recording strong price increases and vacancies are at historic lows amid a shortage of rental supply,” the company said.
“Strong migration, low vacancy rates and limited new supply mean tough conditions for renters are likely to remain, with the share of $400 per week rentals set to stay low.”
