Page 18 - Tropic Magazine Issue 36

TROPIC • REAL ESTATE

No vacancies

RENTALS
A Far North Queensland region
has recorded the state’s lowest
rental vacancy rate.

Words: Renee Cluff
The Atherton Tablelands area now has the
title as a Queensland rental crisis capital.
Figures released by the Real Estate
Institute for the March quarter showed
the Tablelands and Southern Downs
regions shared the top tightest vacancy
rate, at just 0.1 per cent. Cairns also hit Under the new provisions, landlords
a record low with a 0.5 per cent vacancy will only be allowed to say no to a tenant
rate, while Mareeba maintained its record having pets on the basis of certain
low of 0.4 per cent. prescribed grounds, while pet damage
REIQ CEO Antonia Mercorella said has been removed from the fair wear and
investors are selling, with the dominant tear clause, which means owners can seek
purchasers being owner occupiers. compensation for damage caused by pets.
That means more homes that were The landlord can also impose conditions
previously investment properties have on the approval of a pet.
effectively been removed from the rental Changes to terminations are also due
market, shrinking an already low base to come into effect on October 1. RENTAL VACANCY
of rental supply. “With the second stage Property owners will lose the right to end
of rental reforms looming, the last thing a periodic tenancy by providing notice, Queensland average 0.7%
we need right now in the midst of a while new grounds have been set to end Cairns Tablelands
rental crisis, is legislative reform which a fixed term tenancy. They include if the 0.4% 0.5%
undermines investor confidence,” owner wishes to sell or move back into
she said. “With record low vacancy rates, the family home. Mareeba
and 36 per cent of our population renting Another provision, which sets out basic 0.1%
their homes, we can’t afford to reduce the standards to rent a property, won’t be
appeal of investing in Queensland. introduced until next year. Under those *Figures from March quarter
“We need fair and balanced legislation changes, locks on doors and windows
that maintains a level playing field for need to be in working order, all windows
both investors and tenants.” must have a covering on them and WHERE SHOULD
kitchen and laundry facilities need
to work. VACANCY RATES BE?
Tight
0 – 2.5%

How is the Healthy
supply shortage 2.6 – 3.5%
impacting rents? Weak

Mean weekly rents, Cairns 3.6% +
Units $390 Houses $595 Source: Real Estate Institute Queensland
↑ 14% ↑ 14%

*May 2022 compared with May 2021 MORE: reiq.com
Source: SQM Research

18 • Tropic • Issue 36