How much is rent in Adelaide right now? If you’re wondering, chances are you’re renting out a home for the first time or checking the rental market.
With its convenient city living, bountiful nature and laid back lifestyle, Adelaide is one of the most desirable cities to live in across Australia. Which is why if you’re looking for a rental in Adelaide, it’s smart to be ahead of the curve, do some research and get tips on renting property in Adelaide.
So to help you make the best decision on your next rental property, let’s dive into what renting in Adelaide looks like right now.
Average rent in Adelaide
According to Corelogic, the average rent in Adelaide between March and June 2022 was $492 per week. This is a 4.3% increase from the previous quarter and the strongest quarterly growth rate in rentals since 2005, when Corelogic began tracking.
In the period between March and June 2022, units rose by 3.9% and house rentals up 4.4%.
Adelaide is currently recording the tightest rental markets across all property types. In June 2022, only 0.3% of Adelaide’s houses and unit were vacant. This one of the lowest recorded vacancy rates.
Average rent in Adelaide over the past 5 years
According to SQM Research, the Adelaide rental market has seen consistent growth in the past five years aside from a dip in 2021.
The pandemic and its travel restrictions were a big driver of this decline. With fewer migrations, there was more supply of rental properties on the market which led to a decrease in the rental prices.
Average rent for houses in Adelaide
- Adelaide average weekly for houses in 2021: $405
- Adelaide average weekly for houses in 2020: $421
- Adelaide average weekly for houses in 2019: $404
- Adelaide average weekly for houses in 2018: $393
- Adelaide average weekly for houses in 2017: $379
Average rent for units in Adelaide
Students make up a big number of the migrants in Australia. So when the pandemic hit and borders were closed, the demand for apartments went down as well. Which is why the steady growth in rental prices for apartments hit a plateau.
- Adelaide average weekly rent for units in 2021: $340
- Adelaide average weekly rent for units in 2020: $315
- Adelaide average weekly rent for units in 2019: $315
- Adelaide average weekly rent for units in 2018: $300
- Adelaide average weekly rent for units in 2017: $291
Why is rent so high in Adelaide?
Here’s a little insight into the housing market in Adelaide. It’s a tight market.
A tight rental market is tough for tenants. But why? The answer to this can be complicated.
To put it simply, one of the reasons this is happening right now because the demand for rental properties is strong but there is not enough supply on the market to fulfil this demand.
So there is high competition between renters which drives up the rental prices.
Another reason the rental market is tight is from the lack of supply. During the pandemic, between 2020 and 2021, many investors sold their rental properties which brought down the supply. But that said, if they sold their properties to renters, wouldn’t that mean there are fewer renters?
This is why the changes in the rental market can be complex.
When it comes to rental demand, it’s more than just the number of people looking to rent. We also have to think about the number of people in a household. And it looks like the average household size is getting smaller.
Instead of sharehouses with multiple rooms and roommates, renters are looking at smaller properties of one or two bedrooms. This could be because the pandemic has driven people to appreciate privacy and space.
What does the rest of 2022 look like for rental properties in Adelaide?
With the reopening of borders and the influx of migrants, the rental market is not going to cool anytime soon.
The dominant age bracket of renters, 20-29 years, also aligns with the average age of most migrants, meaning demand will only go up. This will be especially concentrated in capital cities.
With the average household size now smaller than it used to be, it could go the other way in the future. Renters previously interested in getting smaller homes will be more open to the attractive prices of sharehouses in bigger homes.
Investors will also slowly make their way back and invest again, adding to the supply of rentals on the market.
What suburbs are cheapest to rent in Adelaide?
Living in Adelaide’s city centre is a lovely thought, but perhaps not as attainable for some of us. So here are some of the most affordable suburbs to rent in Adelaide.
Parafield Gardens
Average rent in Parafield Gardens: $390
Parafield Gardens a largely residential suburb in the southwest of Adelaide, about 25 minutes from the CBD. The demand for this area has grown stronger because it’s an affordable, tranquil suburb, suitable for families and young professionals alike.
Check out more properties for rent in Parfield Gardens.
Craigmore
Average rent in Craigmore: $375
Craigmore sits towards the north of Adelaide and a little further from the Adelaide CBD (about 45 minutes in a car). Because you’re not in the city centre, rent is lower and residents can enjoy a slow pace of life and more close knit community.
Check out more properties for rent in Craigmore.
Morphett Vale
Average rent: $385
Morphett Vale is the largest suburb in the stat and is located south of Adelaide. You’re less than 40 minutes from the city. Because of its larger population of 25,000, it feels more like a town of its own. It has all the conveniences of good amenities including a short commute time to the city, beach and gorgeous McLaren Vale wine region.
Check out more properties for rent in Morphett Vale.
Source: Smart Property Investment
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