Investors 'voting with their feet' as Victoria sees record fall in rental stock
www.abc.net.au
Victoria is experiencing the sharpest fall in rental stock since record keeping began in 1999, suggesting an investor sell-off is gaining pace.

In short:

The number of active rentals in Victoria fell by almost 22,000 properties this year, suggesting investors are selling up.

It’s being attributed to higher rental standards and increased land taxes in Victoria.

What’s next?

It’s feared the sell-up will make the market even tighter for renters

The survey described a “sell-off of investment properties around the nation” that was “continuing unabated” and “fuelling fears of an even tighter rental market”.

The outlook may be grim for investors, but home owners appeared to be benefiting, snapping up 65 per cent of the properties investors sold, according to PIPA.

First homebuyers in Melbourne have also enjoyed months of falling prices, while most of the rest of the country has experienced continued increases.

CoreLogic head of research Tim Lawless labelled falls in rental bonds “significant and surprising” but noted they had not brought the expected rent increases.

Am I going crazy here, or are they just describing that more people are becoming owner-occupiers? The houses ‘coming out of the rental market’ aren’t being set on fire or blown up, people are buying them and living in them…

  • barsquid@lemmy.world
    3·
    1 month ago

    Is “making the market tighter for renters” accounting for people who were renting transitioning to owning? Lower supply, sure, but by definition if it is not for rent isn’t it because it became a primary residence, lowering demand as well?