Townsville Residential Property Overview | QTR 1 | 2015
Rental Market Residential Vacancy Rates
Vacancy Rates Down • The REIQ conduct a quarterly survey to determine residential vacancy rates in Local Government Areas across Queensland. • Townsville vacancy rates are calculated by using information provided by local real estate agents. • The number of vacant properties on rent rolls divided by the total number of rental properties available determines the overall vacancy rate. • Residential vacancy rates across Townsville were 4.8 per cent in September 2014, down from 5.4 per cent in June 2014. •Although this is a significant improvement, it is still well above the accepted balanced market benchmark of 3 per cent. •Stubbornly high unemployment has reduced demand, creating a temporary surplus of accommodation supply. • Vacancy rates have decreased in most other regional Queensland centres including Rockhampton, Gladstone and Bundaberg, apart from Mackay which increased to 8.4%.
LGA
Sep-14
Trend
Townsville
4.8%
Down
Cairns
1.8%
Steady
Mackay
8.4%
Up
Rockhampton
4.1%
Down
Gladstone
4.7%
Down
Toowoomba
1.6%
Steady
Sunshine Coast
1.1%
Steady
Gold Coast
1.9%
Steady
Greater Brisbane
2.0%
Down
Source: REIQ
Rental Rates Trend Lower • Analysis of new rental bonds lodged with the Residential Tenancy Authority (RTA) is the basis of the median weekly rents information. • The median rents are calculated for different types of dwellings in major centres throughout Queensland. • In December 2014, the Residential Tenancy Authority held a total of 13,342 bonds for houses and 9,207 bonds for units and townhouses in Townsville. • Rents have generally fallen across the board during the year ending December 2014. • Analysis of median weekly rentals by postcode shows that the upper Ross offers the most affordable housing, while the inner city areas in the 4810 postcode are generally the least affordable. • The highest median rent of all dwelling types was $450 per week for 4 bedroom houses in the inner city postcode of 4810 and $450 per week for 3 bedroom units in the inner city postcode of 4810. • Rents may continue to come under downward price pressure until vacancy rates return to a balanced market level.
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TOWNSVILLE RESIDENTIAL PROPERTY OVERVIEW
Median Weekly Rents Dwelling Type 2 bed units 2 bed units 2 bed units
Area Postcode area 4810 Postcode area 4814 Townsville City LGA
3 bed units 3 bed units 3 bed units
Postcode area 4810 Postcode area 4814 Townsville City LGA
$450 $355 $370
$450 $330 $390
0.0% 7.6% -5.1%
2 bed townhouses Postcode area 4810 2 bed townhouses Townsville City LGA
$260 $270
$310 $280
-16.1% -$50 -3.6% -$10
3 bed townhouses Townsville City LGA
$340
$350
-2.9%
-$10
3 bed houses 3 bed houses 3 bed houses
Postcode area 4810 Postcode area 4814 Townsville City LGA
$350 $330 $320
$350 $340 $340
0.0% -2.9% -5.9%
$0 -$10 -$20
4 bed houses 4 bed houses 4 bed houses
Postcode area 4810 Postcode area 4814 Townsville City LGA
$450 $400 $380
$450 $420 $400
0.0% -4.8% -5.0%
$0 -$20 -$20
Prepared by 3D Property Consulting, Source RTA
Dec-14 Qtr Dec-13 Qtr 1 Yr Change Rent ($) Rent ($) % $ $290 $300 -3.3% -$10 $280 $270 3.7% $10 $280 $280 0.0% $0 $0 $25 -$20