National vacancy rates fell in May, although the drop was so small that many will notice no difference in the tight rental market.

SQM Research data shows vacancy rates fell from 1.3% in April to 1.2% in May.
This equates to an additional 2,238 properties being offered for rent across the country.
SQM Research managing director Louis Christopher says the latest figures show Darwin has the tightest vacancy rate in Australia of just 0.5%, followed by Hobart (0.6%), Perth (0.7%), Adelaide (0.8%), Brisbane (0.9%), Sydney and Canberra (both 1.5%) and Melbourne 1.7%.

He says the rental growth remains steady but continues to be elevated given the shortage of properties for rent. “We are likely to have ongoing elevated rents for a long period of time, until we have equilibrium between tenancy demand and rental supply. That’s not likely to happen until such time as we see a slowdown in population rate and a meaningful increase in new dwelling completions.”