One of the reasons why rent in Brisbane is so high relates to scarcity and availability. As the city becomes more popular, the lack of vacant rental units means more tenants are looking for larger living spaces than there are empty rental homes.
However, the big caveat is that Brisbane apartments for rent have commanded higher prices over the last couple of years because of several economic factors, and that might all change. If you’re renting out a granny flat in Brisbane and want to know how your income will fluctuate in 2023 or need help budgeting for your rent in the next few months, we’ll explain some of the statistics that will be good news for renters on a tighter budget!
Navigating through life in a new city can be challenging, especially when it comes to finding the perfect dwelling place. If you’re a foreigner looking for a home in Brisbane, you might also appreciate this guide on how to rent a house in Brisbane as a foreigner. It offers practical advice to help make the process a little smoother.
A Year in Brisbane Rental Prices
The average rental cost in Brisbane is around $622 for any type of house and $459 for a unit per week, and if you’re a Brisbane local, you don’t need us to tell you that accommodation prices have jumped. Stats show that:
- In the last twelve months, rent prices have risen by 21%.
- Costs have been 8.8% higher per year over the last three years.
- Over ten years, Brisbane rent averages have grown 2.9% per annum.
Because the surge in demand began fairly recently, it can be tough for renters to find new properties or upgrade to something bigger since the average cost is now a good 20% higher. However, longer-term forecasts may indicate that a bloated property market will inevitably need to let off a bit of steam to remain viable.
Prices can’t increase ad infinitum without dropping off since that’d mean a smaller pool of tenants and fewer opportunities for landlords.
Brisbane isn’t the only city that has seen sudden spikes, with median rents across Australia up 9% year on year–although Brisbane has been more affected than other cities.
Forecast Rental Prices in Brisbane
There are a unique set of circumstances that have driven higher rental prices, not least the volume of international students or those from elsewhere in Australia just starting to return to the city to continue their studies as travel restrictions are lifted.
Rents are broadly expected to move upward for another three to six months. Wage growth is also rising, which theoretically balances out affordability, as long as we don’t include living costs in the equation.
In August 2022, market insights show that property investment prices have dropped for the first time in 24 months, falling 15.7% for units, 23.3% for houses, and 22.1% overall. The 33% value growth in 2021 means homes are still more expensive, but not by as massive a margin. In July, the home value index fell by 1.3% nationwide for the third consecutive month due to lower investment, higher interest rates, and the inflationary economy.
It’s also likely that residential tenancies will become more affordable as the Queensland government reviews short-term AirBnB rentals. Brisbane City Council has applied higher rates to this accommodation, meaning more landlords will offer vacancies to longer-term tenants.
At Soho, we’ll keep you updated when we have more details, and the signs indicate that rental costs will start to ease within the next few months–even though the city’s popularity means Brisbane rental homes will always be in high demand. Stay tuned on our app or on the Soho site to be sure you’re up-to-date on the latest Brisbane listings!
