Monday November 30, 2009

Rental markets to tighten further in 2010 and 2011

Leading industry analyst and economic forecaster, BIS Shrapnel, is anticipating rental growth around Australia will surge in 2010, following a period of more moderate growth in 2009. The company says over the three years to 2012, national average yearly rental growth will be 5.8 per cent, resulting in rental households passing an extra $1.9 billion to landlords each year.

In an update to its Residential Property Prospects, 2009 – 2012 report, BIS Shrapnel says construction of new medium and high-density housing has fallen to the lowest level since 1991. Starts of only about 30,700 medium and high-density housing units are expected in 2009, representing an annual decline of 30 per cent.

Contact: Jason Anderson