We were very pleased to have been contacted by the Australian Financial Review to provide insight into the current rental situation outside the capital cities, as shared in this article.
We've been providing commentary for many months now about the low rental vacancy rates across Newcastle and Lake Macquarie and the impacts this has on driving house prices and rents upwards.
Over time, the awareness of the disparity between what is happening in the capital cities and what is happening in the regions has become more widely reported, as seen in today's article in the Australian Financial Review: "Rental ‘crisis’ creates opportunities for property investors".
Right now, there are very high tenant numbers seeking homes around the Newcastle and Lake Macquarie area, with many in increasingly difficult circumstances.
Of course, these are conditions which favour investors. However a crucial role for property managers at this time is to retain a balance of good rental return for an investor while not being exploitatively opportunistic.
As well as ourselves, the AFR article presents insights from others around the country including Simon Pressley from Propertyology who says the market for investing in rental houses outside of Melbourne and Sydney is “the best in a decade” with rental rises expected “for some time to come”.
He adds that “Non-capital cities will blow capitals out of the market,” stating that research predicts 40 regional cities’ house prices should this year generate more than 20 per cent capital growth.
Part of our role as property managers in the current climate is to balance our responsibility servicing the objectives of our investors, with a sensibility and awareness of the implications this has to those we are renting to.
Carnelian Property Management Newcastle NSW
We are a family-owned and run Charlestown real estate agent offering expert property management across Newcastle and Lake Macquarie.