It’s a Red Hot Summer in Rentals

Typically this time of year is always our busiest when it comes to movement of tenants in rental properties.

This is mainly due to relocation for work, wanting to move to another area before school commences, university year commencing and various other reasons.

What I have noticed for the Summer of 2018 compared to any summer I have experienced in almost 10 years of Property Management is the lack of stock when it comes to available rental properties.

The number of tenants seeking a rental property hasn’t diminished at all for this time of year but the amount of advertised available 3-4 bedroom family homes and 2 bedroom units has decreased by approx. 66% compared to previous years.

An example of this is that we recently conducted a viewing at a 2 bedroom home in Prospect which saw 42 groups of people booked in for the first viewing.

For those of you that have investment properties in Melbourne or Sydney, this may not be a surprising number of people but in Launceston, this is unprecedented for our company where in the past we thought 15 groups was a lot to deal with!

Good news for our investors as this demand is consequently driving up the rental prices – typically we are increasing properties rental prices by 10% when advertising and achieving those prices.  This demand is also reducing the vacancy on these investments as most are rented out prior to the current tenant vacating.

It is an exciting time in Launceston for investment with property values increasing. It’s a good time to review your investment portfolio and perhaps purchase another investment or two.

I am always available to discuss the rental market in more detail with you and our Sales team are also available to assist in finding a suitable investment property to either start your investment portfolio or add to your portfolio.