Posted 15th October 2020 by Pillar Property
Rental affordability has improved to its best result in more than a decade, driven by coronavirus-induced rent reductions, according to the latest quarterly report from the Real Estate Institute of Australia.
The proportion of income required to meet rent payments decreased to 23.3 percent in the quarter, a decrease of 0.4 percentage points over the quarter and down 0.5 percentage points compared to the same time last year, analysis reveals.
The rental market has also been awash with Airbnb listings as a result of the travel ban, while online-only learning has pushed thousands of students to forgo rental accommodation and return home.
Inner-city markets in Sydney and Melbourne have been the most heavily affected due to the service economy downturn, as people working in industries hardest hit by Covid-19 were also most likely to rent.