Home rental market goes ‘crazy’

THE rental market in the Clarence Valley has “gone crazy” in a good way, says McKimm’s Real Estate property manager Angus McKimm.

Enquiries are up and vacancies are down when it comes to the Grafton rental market. Picture: Contributed

THE rental market in the Clarence Valley has "gone crazy" in a good way, says McKimm's Real Estate property manager Angus McKimm.

The new year has brought with it a wave of positive vibes as more people look to make Grafton their home.

Mr McKimm said the last six families who had inquired about rentals in the region were from England looking to move to the Jacaranda City in 2014.

"It's like a wave of English families," he said.

"Since October, the rentals have picked right up and January is usually a busy time, but 2014 in particular has been crazy."

He said more people seeking rental properties meant more competition for tenants, but it was set to be good in the long run.

"Yes it can be a hassle if you're a tenant trying to find a place, but it will be a good thing for everyone," Mr McKimm said.

"It will contribute to high returns for investors which leads to capital growth.

"And if landlords have more money from their investments, for tenants it means more quality rental homes because people have more money to construct them."

He said quality was a key word for the way real estate was headed.

"Everyone is talking about quality because that's what people are looking for," Mr McKimm said.

With the average rental price in Grafton around $300 a week, he said it was up to landlords to use their smarts when putting their property up for rent.

"That's the average price across all property types - from the very basic house to the riverfront units," he said.

"It's up to landlords to be smart when setting their prices because if you put it up for $250 a week, you're probably going to get someone in there a lot quicker than if it's $300 a week, and they may stay longer because they're getting a good deal.

"And if your price is too high, you may end up getting bad tenants who have only taken it as a last resort."

For those in the business sector, Mr McKimm said it should be a good 2014 for all.

"2012 and 2013 were not good years for businesses associated with the property market, but that's turned a corner and we should be in for a good year and hopefully another three at least to come," he said.

Real Estate Institute of New South Wales statistics showed rental vacancies in the Northern Rivers dropped 0.1% bringing the total to 2.3%.

Originally published as Home rental market goes ‘crazy’