With all the momentum in the market, we thought we’d give you an update of how the rental market is performing. Firstly, we’d like to thank our landlords and tenants for their patience and understanding during the lockdown period and are happy to report that everything is running smoothly with our team working carefully to ensure the process remains streamlined and that all protocols are adhered to. Overall, the rental market has shown remarkable resilience and a strong turnaround following initial expectation around Covid and CoreLogic reports strong growth for rental values though gross yields are compressing slightly.

We’re working hard and smart to ensure the safety and security of both our tenants and managements. We are conducting one-on-one inspections and working only on our vacant properties in accordance with government guidelines. The good news is that the level of enquiry is great and with stock levels low, we’re seeing some strong results. Last month, our management team handled 1,404 enquiries and processed 340 applications with over 600 enquiries and 40 applications in the last week alone.

Head of Property Management Rachael Beadman reports, “The pandemic has seen the top end of the rental market bounce back and, with much more importance being placed on our homes in current times, properties in coastal and lifestyle locations are being snapped up quickly. Domain reported this month that the biggest jump in median house rent was recorded in Bronte, with rents rising by 35.5% over the past year, a strong recovery from the 2020 lockdown. We’re also seeing high demand for rental properties in Paddington and Woollahra as well as the coastal suburbs. So far this year we’ve leased 350 properties with 44 tenancies secured in July which is a really positive sign.”

A good example of how quickly our rental properties are being leased is 118 Jersey Road, Paddington which was leased in the first week of lockdown after one private inspection for $2,350/week which is a great result for a three-bedroom terrace. A fortnight later, we introduced tenants that missed out on the Jersey Road home to 194 Jersey Road, Paddington which we were able to lease with no marketing. Similarly, 36 Windsor Street, Paddington was leased after a private one-on-one viewing for $2,300/week and 18 Edgecliff Road, Woollahra for $1,455/week ($55 over the original asking price).

In sales news, this week the team secured 13 sales with an average price of $3m and listed 10 new properties. Take care, stay safe and keep connected.