Health care workers and Sydney leavers are forming the largest part of our rental demand right now and we can’t see it stopping. Obviously the year has brought rapid change to everyone’s lives and right now the decisions people are making around real estate are having a very positive effect on the Central Coast market both in selling and renting property.
Here at Ray White we have seen rental demand jump by nearly 50% and a lack of available property is putting significant upward pressure on asking rents. We have averaged leasing 10 properties a month for the last five months (up by 40%) and there is very little available. One client recently told me that he applied for a number of properties in a beach suburb at their asking rent, only to be told that the rent had gone up after he applied, in one case by $80.
Sydney’s rental market as reported in recent news stories has seen a decline which has seen asking rents reduce significantly, especially in the unit market. This is driven by the lack of overseas tenants here for education, and the lifestyle seekers finding better value away from the city. Working from home is fast becoming the new norm and why not do it in the beauty of the Central Coast?
So, what does this mean to investors and tenants? I think you will see rents continue to see steady growth which will support investors entering the market in better numbers. Lifestyle areas such as ours will see good properties generate fantastic returns. Buying those properties that offer good lifestyle attributes like an outlook, proximity to amenities, and good fittings and fixtures will reward you with better rents moving forward. To those tenants looking, try to secure long leases as the rent in 6 months time may well be higher than you are paying now. For more information on what our market is doing and a list of recently leased properties please get in touch.