How To: Rent During a Rental Crisis
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As the rental crisis in Australia deepens, finding a suitable and affordable rental property has become an increasingly daunting task for many Australians.
With skyrocketing rental prices, a shortage of available rental properties, and fierce competition among renters, securing a lease can feel like a never-ending battle. However, with the right strategies and preparation, navigating the rental market and finding a rental property that suits your needs and budget is possible.
In this article, we explore some practical tips and advice on how to rent during a rental crisis in Australia. Whether you are a first-time renter or a seasoned tenant, these insights will help you navigate the current rental market and secure your dream rental property.
If you’re interested in finding out the general cost of living in Australia, check out our cost of living in Australia article here. Alternatively, you can visit our Melbourne & Sydney cost of living articles in the links below.
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Get connectedHow Bad is Australia’s Rental Crisis?
To state that Australia has a housing crisis is an understatement. As it stands, the cost of rent is at an all-time high while vacancies are at an all-time record low, with the rising cost of living causing severe rent increases and shooting housing affordability through the metaphorical roof.
Residential Vacancy Rates March 2022-2023
| Capital Cities | Mar 23 | Sep 22 | Mar 22 |
|---|---|---|---|
| Melbourne (Victoria) | 1.1% | 1.4% | 2.4% |
| Sydney (NSW) | 1.3% | 1.5% | 1.8% |
| Canberra (ACT) | 1.8% | 1.2% | 0.6% |
| Brisbane (Queensland) | 0.8% | 0.8% | 0.7% |
| Adelaide (SA) | 0.5% | 0.4% | 0.3% |
| Perth (WA) | 0.5% | 0.5% | 0.6% |
| Hobart (Tasmania) | 1.1% | 0.6% | 0.4% |
| Darwin (NT) | 1.2% | 1.0% | 0.7% |
| National | 1.1% | 1.1% | 1.2% |
Capital City Weekly Rent March 2022-2023
| Capital Cities | Mar 23 | Sep 22 | Mar 22 |
|---|---|---|---|
| Melbourne (Victoria) | $648 | $577 | $547 |
| Sydney (NSW) | $957 | $850 | $776 |
| Canberra (ACT) | $767 | $749 | $771 |
| Brisbane (Queensland) | $669 | $631 | $577 |
| Adelaide (SA) | $567 | $542 | $497 |
| Perth (WA) | $664 | $602 | $580 |
| Hobart (Tasmania) | $542 | $533 | $510 |
| Darwin (NT) | $712 | $672 | $629 |
| National | $636 | $599 | $570 |
As it stands, capital cities highlight the rental vacancy issues over the last year above, with weekly rent costs skyrocketing across all houses, no matter if they’re a 3-bedroom house or a 1-bedroom unit.
On top of the challenging property market, Aussies are struggling with severe rental stress due to their income/rent ratio, with low-income households being put at risk, spending 38% to 60% of their income on rent.
Due to these conditions and the low rental vacancy rate, competition for real estate is tough, despite the rising lack of rental affordability, which makes house hunting all the more difficult for potential homeowners and tenants.
Navigating The Current Market
With the rental market sitting in the state it currently is, the best way to land yourself a property you can call home is by following best practices.
Often times when an area is experiencing low vacancy rates with differing house prices, rentals in tight markets are being snatched up right away from the first open, so the best practice here is to be the first one at that inspection. Try to picture the situation from the property manager’s perspective, where you’d much rather land a tenant on the first inspection than set up and prepare for a second, third or fourth inspection.
If possible, organising an early, private inspection with the agent after a property was listed is a great way to get your foot in the door to be a potential tenant. Bear in mind popular properties can easily change a private inspection into a public one!
Landing a rental property can all be about the presentation, as a tenant who appears organised and ready to commit is a far greater look than someone appearing to just show up for refreshments!
Preparation is Key!
Preparing applications (rental reference letters and writing a cover letter) will also provide the opportunity to apply the moment you leave an inspection, creating the best chance of being approved.
Renting During a Rental Crisis Tips
To assist in landing a rental property during a rental crisis, here are some tried and true tips to give yourself the best chance of putting pen to paper to stay in your long or short-term home.
- Be prepared: Before you start your rental search, make sure you have all the necessary documentation and information on hand. This includes your rental history, references, proof of income, and identification. Having all these documents ready will make the application process smoother and faster.
- Be flexible: During a rental crisis, the competition for rental properties is high, and you may need to be more flexible with your preferences. Consider widening your search area, being open to different property types, and adjusting your expectations on price and amenities.
- Act fast: When you find a property that fits your needs, act fast and submit your application as soon as possible. Delaying your application could mean missing out on the property to other potential renters.
- Consider sharing: Sharing a rental property with other tenants can help reduce the cost of rent and increase your chances of securing a lease. You can also consider sharing with friends or family members to make it easier to find suitable housemates.
- Seek professional advice: Seeking professional advice from a real estate agent or property manager can provide valuable insights into the rental market and help you find suitable properties that match your preferences and budget.
By following these strategies and tips, you can increase your chances of securing a rental property during a rental crisis in Australia. Remember to stay positive, be patient, and keep trying until you find the right property that meets your needs and budget.
Utility Connection
Once you’ve landed the property, now comes the time to start making this new address home and fill it with all the items you’ve moved over!
If this is your first move out of home, check out our guide on Moving Out for the First Time here. Furthermore, if this is your first rental property and you’re still unsure about renting as a whole, check out our post on What you should know about renting here.
Lastly, it isn’t a home without electricity or gas to power the property from the moment you move in.
If you need help getting your utilities connected sorted, please call MyConnect on 1300 854 478 or use the Get Connected form here! If you’re unsure about using a utility connection company, hopefully, this post here can assist you.
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