Cheapest rental markets worst hit by surging demand

We reveal the suburbs where rental demand has spiked most, plus where potential tenants have the best chance of snagging a lease.

Competition for units to rent is fierce, while demand for houses in some areas has eased

The Coast’s most affordable markets have been worst hit by surging demand for rental properties, with twice as many inquiries than a year ago in areas once considered tenants’ havens.

Exclusive PropTrack data shows the Gold Coast suburbs with the biggest increase in potential renters per property listed on www.realestate.com.au were those where the rent was below the city average.

In Upper Coomera, the number of prospective tenants over the past year more than doubled from 42 to 87 people per unit for rent, when compared with the previous 12 months.

Inquiries were up 76 per cent in Pacific Pines, and 59 per cent in Coomera, while listings in Helensvale and Oxenford had 56 and 53 per cent more interest, the data showed.

This Coomera villa was just leased after hundreds of people inquired

Rent was between $440 and $480 per week for a unit in each of the five suburbs with the biggest increase in hopeful tenants, compared with the Gold Coast’s average rent of $670.

And property insiders say demand for many listings is far greater, with one three-bedroom villa in Coomera attracting more than 200 inquiries from hopeful tenants.

More than 100 people attended the open home inspection for the Beattie Rd property listed by Coomera Realty.

It was leased for $500 per week.

Coomera Realty senior property manager Cameron Benson said demand for local rentals had intensified since October.

Two-bedroom villa on Helensvale Rd, Helensvale is listed for $480 weekly rent

“Of course we are sympathetic, and we hear their stories that some people have been forced out of their home because the rent was increased by $250 a week and they’d been there seven years,” Ms Benson said.

“They are staying in caravan parks or with friends and family, but that’s only a temporary solution.

“We can only process a certain number of applications, and we have to make sure people can meet the affordability criteria, which is based on the rent not exceeding 30 per cent of their income,” she said.

The Beattie Rd villa had recently sold to an investor for $535,000 after a competitive sales campaign.

Demand for high-end houses in Palm Beach has dropped back.

The PropTrack data revealed greater demand for units than houses, also pinpointing a smaller number of suburbs where the number of potential tenants had fallen.

Those pining for a patch closer to the sand may be in luck, with the biggest decreases for houses in Burleigh Waters and Coolangatta (both down 33 per cent), and Palm Beach, where there were 28 per cent less potential tenants per listing.

But you’ll have to fork out to get a foot in the door, with average rents of $900, $725 and $828 for houses in those suburbs.

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Competition was also down for houses in beachside hotspots, Broadbeach and Mermaid Beach, where rents averaged $750 and $1,195 per week.

Jessica Melling, of The Rent with Jess Team at LJ Hooker, said demand for high-end homes had eased following the pandemic boom, when families moving from interstate paid above market rent to secure a home while they searched for a property to buy.

10 Swordfish Ct, Palm Beach is for rent for $2,200 a week via LJ Hooker

Ms Melling just rented a five-bedroom luxury home on Townson Ave, Palm Beach for $1,600 a week.

“The rental crisis is still here for affordable homes, so anything under $750 a week, and there are less and less properties becoming available in that price range so obviously the demand is high for those,” Ms Melling said.

“Six months ago, our properties that hit over the $900 mark were renting at the same speed as the affordable housing, but that has now dropped as many of the people who were renting homes for $3,000-4,000 have now bought.”

The national average number of potential renters per listing was 6.5 for units, and 8.5 for houses.

Units in Pacific Pines are more in demand than houses

BIGGEST INCREASE IN TENANTS PER LISTING

Upper Coomera (units)

Pacific Pines (units)

Coomera (units)

Helensvale (units)

Oxenford (units)

BIGGEST DECREASE IN TENANTS PER LISTING

Burleigh Waters (house)

Coolangatta (house)

Palm Beach (house)

Broadbeach (house

Mermaid Beach (house)