Darwin’s vacancy rate continues to rise – realestate.com.au

News Corp Australia Network

The vacancy rate has eased further in the Darwin region. Picture: Michael Franchi

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The Darwin rental market saw continued easing in September with the vacancy rate up once again, according to the latest data from PropTrack.

The September PropTrack Market Insight Report showed the rental vacancy rate in the Darwin region was up 0.1 percentage points month-on-month to sit at 1.8 per cent.

PropTrack economist and report author Anne Flaherty said Darwin was one of only four markets to see the vacancy rate rise for the month, alongside Perth, Brisbane and regional Victoria.

“Over the quarter, the vacancy rate in Darwin is up 0.37 percentage points and compared to September 2022, the vacancy rate is up 0.08 percentage points,” she said.

“However, Darwin’s vacancy rate remains 61 per cent below pre-pandemic levels in March 2020.”

PropTrack economist Anne Flaherty. Picture: Supplied

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In regional Northern Territory, the vacancy rate fell 0.49 percentage points month-on-month to sit at 1.50 per cent and was down 0.67 percentage points over the quarter.

“Despite the fall, regional NT has the highest vacancy rate of the regional markets,” Ms Flaherty said.

“Even with the decline, the vacancy rate in regional NT is still up 0.16 percentage points compared to the same time last year, providing some relief to renters.”

Ms Flaherty said nationwide rental conditions deteriorated further in September, with the proportion of rental properties sitting vacant hitting a new low.

“Vacancy was down in both capital city and regional areas, with renters feeling the squeeze across the country,” she said.

“Vacancy is now sitting well under 1 per cent in three of Australia’s capital cities.

“More markets are expected to fall below 1 per cent over the coming year as demand continues to grow.”

This furnished one-bedroom apartment, at 1608/43 Knuckey St, Darwin City, is for rent for $600 per week. Picture: realestate.com.au

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Ms Flaherty said regional areas in every state had seen vacancy fall by at least 0.2 percentage points over the quarter, with regional South Australia and Queensland seeing the lowest vacancy, at 0.65 per cent and 0.89 per cent respectively.

“Declining vacancy rates are increasing competition for rentals and placing growing pressure on rents,” she said.

“As a result, rents are predicted to continue rising at above trend levels over the coming months, particularly in the capitals.”