New South Wales's Central Coast Region is projected to record a rental market boom as home seekers escape inner-city areas, according to Brand Property.
Over the May to August period, Brand Property recorded a 196% rise in tenant applications and a four-fold increase in enquiries for homes in the Central Coast.
Andre Kubecka, principal at Brand Property, said the expected surge in demand for rental homes in Central Coast Region comes as rental vacancies in Sydney's central business district remain highest in the country.
"People from Sydney who have been working from home during the coronavirus now see living on the Central Coast as viable and much more affordable," he said.
Figures from SQM Research show that Sydney reported a 3.5% increase in vacancies in August, with the Sydney CBD region reporting the highest vacancy rate at 12.9%.
Louis Christopher, managing director at SQM Research, said this was the opposite of what was happening in most regional locations where vacancy rates continue to shrink.
"The shift towards regional living continues at pace, largely at the expense of higher inner-city rental vacancy rates. I suspect there will have to be a high point in this move soon. However, I also suspect there will be a degree of permanency with the massive population shift," he said.
The latest report from the Real Estate Institute of New South Wales (REINSW) showed similar results when it comes to regional locations. However, it did report that while vacancies in most regional locations in the state remained tight, Central Coast was actually one of the few that reported an increase in vacancy rate in August.
Tim McKibbin, CEO of REINSW, said that tenants are now looking to secure a rental property that suits their budget.
"With so many people experiencing job losses or reduced pay, many tenants have had to relinquish properties and go in search of more affordable options. Landlords faced with vacant properties are now, in turn, reducing weekly rents to entice tenants," McKibbin said.
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