According to REA Group’s latest Rental Report, national median rents increased by 6.9 per cent to $620 per week in December 2024, significantly lower than the nearly 20 per cent growth recorded in 2023.
The country’s largest rental markets, Sydney and Melbourne, have seen rental prices stabilise, with both cities recording no changes in the December quarter.
Sydney’s median rent remained at $730, while Melbourne held steady at $570.
REA Group Executive Manager of Economics, Angus Moore, said there was a significant shift in market dynamics.
“Over 2024, we saw rental price growth slow and the availability of properties improve, indicating that conditions are gradually beginning to ease for renters,” Mr Moore said.
The report revealed that new rental listings increased by 4.6 per cent in the second half of 2024 compared to the same period in 2023, marking the busiest second half since 2020.
Total advertised rentals were up 9.5 per cent compared to the previous year.
Perth and Adelaide emerged as standout markets, with Perth recording the highest rental price growth at 8.3 per cent, followed by Adelaide at 7.4 per cent.
Notably, Adelaide’s median weekly rent of $580 now exceeds Melbourne’s $570, while Perth at $650 has surpassed Brisbane’s $630.
Despite the overall easing, regional areas continued to experience stronger growth than capital cities, with regional rents increasing by 10 per cent to reach $550 per week, compared to capital cities’ 6.7 per cent growth to $640.
The demand for rental properties showed signs of moderating, with the median days on market increasing slightly from 19 to 20 days, and average enquiries per listing falling from 24.1 to 19.5 nationally.
Mr Moore said that while conditions are improving, challenges remain.
“Despite some easing of rental pressures, the market remains far tighter than pre-pandemic levels, and availability is still strained,” he said.
“Rents are expected to keep rising in 2025, though at a more moderate pace.”
