Renters in major cities are facing surging weekly prices and a shortage of properties listed under $400.
This is a stark increase since March 2020, during the pandemic, when 42.5 percent of rentals were under this price.
Data provider PropTrack show current median prices in Melbourne of $540, a rise of 42 percent.
PropTrack economist Anne Flaherty told the Guardian that the speed at which rents are rising is far outpacing what we historically see.
“Landlords basically can charge what the market can afford. Lately, the return of overseas students and a resumption of migration have combined to push up competition for inner-city units in particular,” she said.
The Housing Industry Association warned of an unpromising outlook for the supply of new homes as materials and a shortage of skilled workers. Higher costs for construction will contribute to homes being at the lowest rate in a decade.
The shortage of properties could see people resorting to shared housing as a more affordable option.
Photo: Aerial Shot of a Suburban Area by Geometric Photography available HERE is used under Creatives Commons licence. This photo has not been modified.