New report reveals Sydney’s most affordable and liveable suburbs for renters

Six Sydney suburbs have been identified as the most “affordable” and “liveable” in the midst of the rental crisis.

2 min read

August 6, 2023 - 5:00AM

Artwork for rental affordability and liveability across Sydney, following release of the PRD Affordable & Liveable Rental Guide 2023

Six Sydney suburbs have been identified as the most “affordable” and “liveable” in the midst of the rental crisis.

While it may be the most expensive city to rent, a new report has revealed that certain Sydney suburbs are more affordable and have more incoming stock.

PRD Real Estate has released its Affordable & Liveable Rental Guide 2023, identifying “key suburbs” with the most potential for renters.

The report looked at around 500 suburbs within 20km of the city with criteria including rental prices lower than Sydney’s median and a high level of rental stock coming into a suburb including residential projects that have stated construction.

PRD chief economist Dr Diaswati "Asti" Mardiasmo.

Demand for rentals is at an all time high. Picture: Nicholas Eagar

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Criteria also looked at “liveability” which included low crime and unemployment rates and the availability of amenities within 5km including shops, medical centres etc.

The analysis revealed Carlingford, Granville and Wiley Park as the best options for renting a house, while Crows Nest, Summer Hill and Enfield were the preferred options when it came to units.

PRD’s chief economist Dr Diaswati (Asti) Mardiasmo said compared to other capital cities across Australia, it was easy to identify areas in Sydney as there was more incoming supply.

“There’s still stock coming into those areas that were identified,” she said.

She said it was an advantage for Sydney seeing a variety of areas emerging as good options for renters in the Inner West, Hills as well as Western Sydney.

Six suburbs, from the Hills to Western Sydney have been identified as potentials for renters. Picture: Jeremy Piper

“If there’s more choice across the city, you don’t suddenly get everyone moving to the one area and driving up prices,” she said.

“Looking at the maps of all the developments planned, there’s also a good spread across the whole city. There’s a lot more projects planned across Sydney compared to other capital cities which is much better for the rental market.”
Dr Mardiasmo said while affordability and incoming stock were the main criteria, the report also looked at crime rates.

A house on Adderton Rd, Carlingford is up for rent for $790 per week.

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“Some of them may be considered rougher areas but at the same time people have to make decisions on what is important for them,” she said.

“We made sure the areas were considered safe and their crime rates were lower then Sydney’s overall crime rate.

“We tried to balance out all the factors, some of them may not be the most beautiful suburbs but in a tight rental market these would be our choices.”

The report stated that in the 12 months to June 2023, the median house and unit rental price in Sydney increased by 22.5 per cent and 26.8 per cent to $980 and $710 per week respectively.

An apartment in Holtermann St, Crows Nest, is up for rent for $550 per week

Two-bedroom units had the highest annual rental growth to reach $750 per week.

In June, Sydney Metro recorded a low vacancy rate of 1.7 per cent which was above Brisbane and Melbourne.

The report also revealed that in the first half of 2023, Sydney Metro will see a healthy level of residential developments start with 2822 units/apartments, 149 townhouses, 315 dwellings and 343 lots planned.

Dr Mardiasmo said on an international level, Sydney’s rental market was still better off in comparison to New York, London and Auckland in terms of rent to income figures.