Australian suburbs set to have the biggest rent increases in 2024

Australia’s housing shortage has been laid bare by startling figures revealing just how hard renters will be hit in 2024.

Finding a rental in Australia can be tricky enough – then there’s the challenge of paying for it.

The nation’s housing shortage has been laid bare by startling figures revealing which suburbs are set to feel the pain the worst.

News Corp, using Suburbtrends data, took a deep dive into Australia’s property market to find out how much extra the unit renters in each region will get slugged in 2024.

See each state’s top five suburbs for rent increases >>>

Jump to: SA | Vic | Qld | NSW | Tas | NT

SOUTH AUSTRALIA

If the state’s housing shortage continues driving up prices at the same rate this year as it did last year, renters in one area face a weekly increase of 53 per cent.

According to data by Suburbtrends, those renting units in the statistical area of Seaford Rise–Moana, which incorporates Seaford Rise, Maslin Beach and Moana, face the greatest potential dollar value hike and could be paying an extra 43 per cent, or $222 per week by the year’s end.

This would take it from today’s $520 to a forecast $742 by December if weekly rents continue at the same rate as they did in 2023.

Suburbtrends founder Kent Lardner. Picture: Supplied

Those renting in Uraidla – Summertown – including suburbs Summertown, Woodforde and Marble Hill – face potential rises of $209.

The third worst-hit rental area is predicted to be McLaren Vale (Blewiit Springs, Seaford Heights, Tatachilla) with $195 rises.

Then come Greenwith ($190) and Northgate – Northfield ($183).

Suburbtrends founder Kent Lardner said his recent Rental Pain Index painted a dire picture of South Australia’s rental market.

“Our January report shows an unprecedented level of rental stress,” he said.

Turner Real Estate chief executive officer Emma Slape said tenants should take the forecast with a pinch of salt.

Top five unit rent rise areas

■ Seaford Rise–Moana

■ Uraidla – Summertown

■ McLaren Vale

■ Greenwith

■ Northgate – Northfield

*Based off Statisical Area 2

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VICTORIA

Rents are forecast to skyrocket, stripping Victorian tenants of hundreds of dollars extra a week in some suburbs as property investors sell up and migrant numbers grow.

Suburbtrends founder Kent Lardner said he believed several areas could be hit hard when it comes to renting a unit.

Balwyn North is tipped to experience the biggest spike of $350 per week.

Bentleigh East – North ($324), Beaumaris ($293), Surrey Hills (West) – Canterbury ($280) and Balwyn ($275) are the top five predictions when it comes to rises.

It comes after PropTrack records revealed Melbourne’s rental vacancy rate hit a new low of 1.15 per cent in January.

Char Weeks has been tenant for the past 10 years, living in a two-bedroom apartment in Kew for about six of them.

Between December 2018 and December 2022, her rent rose by $87 a month. But her latest increase, which comes into effect on 12 February, will bump her monthly rent up another $371 — about $85 a week.

This four-bedroom home at 35 Elmswood Blvd, Keysborough is for rent for $850 a week.

Top five unit rent rise areas

■ Balwyn North

■ Bentleigh East – North

■ Beaumaris

■ Surrey Hills (West) – Canterbury

■ Balwyn

*Based off Statisical Area 2

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QUEENSLAND

Tenants are facing rent rises of hundreds of dollars a week before the end of the year in some Queensland suburbs.

The analysis by SuburbTrends found the average rent across the state is expected surge, with units tipped to be hit hard.

Weipa (up $390 a week) tipped to be the worst affected.

Mermaid Waters ($326), Mermaid Beach – Broadbeach ($301), Burleigh Heads ($285) and Burleigh Waters ($282) are also in the top five.

Suburbtrends founder Kent Lardner said the meteoric predicted rise in unit rents was being driven by affordability.

“People are being squeezed out of houses, so they’re going into units and that’s driving rents higher,” Mr Lardner said.

A typical Brisbane house rent is likely to jump by 11 per cent to $774 a week by December, with 34 per cent of an average household income dedicated to rent, but they could rise even more in some parts of Queensland.

This three-bedroom house at 14 Pasadena Court, Broadbeach Waters, is available for rent for $820/wk.

Tenants renting a house in the Brisbane suburbs of New Farm, Kangaroo Point, and Highgate Hill are looking at rises of between 23 and 27 per cent.

Mr Lardner said the biggest issue facing Queensland’s rental market was the imbalance between housing supply and demand.

Top five unit rent rise areas

■ Weipa

■ Mermaid Waters

■ Mermaid Beach – Broadbeach

■ Burleigh Heads

■ Burleigh Waters

*Based off Statisical Area 2

SEARCH FOR YOUR QUEENSLAND SUBURB

NSW

Sydney tenants could be stung with rent rises of up to $400 a week this year – even for units well outside the inner city – as declining rental supply and surging demand heat the market to a boiling point.

One of the growing issues for tenants is that cash strapped landlords are selling their properties to combat interest rate hikes, with distressed sales surging over the past year.

This has been accelerating the decline in rental supply.

Projections from research group Suburbtrends revealed house rents across the average Australian suburb would rise 11 per cent for the year, while unit rents would leap up an average 27 per cent.

More extreme unit rental increases were expected in Banksmeadow (up $431 a week), Mascot ($421), Pagewood – Hillsdale – Daceyville ($409), Sydney (South) – Haymarket ($383) and Botany ($373).

Suburbtrends data scientist Kent Lardner said these projected rises were “severe” and would leave renters on the lowest incomes with “nowhere to go”.

“There is a ripple effect occurring,” he said, noting that more affordable areas would get the biggest rent increases.

A queue of renters seen at a recent inspection in Surry Hills. Picture: Sam Ruttyn

Top five unit rent rise areas

■ Banksmeadow

■ Mascot

■ Pagewood – Hillsdale – Daceyville

■ Sydney (South) – Haymarket

■ Botany

*Based off Statisical Area 2

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TASMANIA

The Apple Isle isn’t immune to Australia’s housing pain, with renters set to carry the burden even further in 2024.

Suburb trend data predicted Statistical Area 2 Waratah – including suburbs Elliott, Flowerdale and Guildford – could face unit rent rises of $238 a week.

Northern Midlands ($219), Sheffield – Railton ($154), Scottsdale – Bridport ($129) and Westbury ($114) are the other regions tipped to be slugged hardest.

Top five unit rent rise areas

■ Waratah

■ Northern Midlands

■ Sheffield – Railton

■ Scottsdale – Bridport

■ Westbury

*Based off Statisical Area 2

SEARCH FOR YOUR TASMANIAN SUBURB

New research from Suburbtrends reveals unit rents everywhere are tipped to rise.

NORTHERN TERRITORY

Northern Territory renters are facing another year of pain, with units set to rise.

Suburb trend data predicted Statistical Area 2 Berrimah – including suburbs Knuckey, Lagoon and Coonawarra – could face unit rent rises of $175 a week.

Lyons ($175), Tennant Creek ($164), Nightcliff ($152) and Larrakeyah ($148) are the other regions that could face unit rental pain across 2024.

Top five unit rent rise areas

■ Berrimah

■ Lyons

■ Tennant Creek

■ Nightcliff

■ Larrakeyah

*Based off Statisical Area 2

SEARCH FOR YOUR NT SUBURB

WESTERN AUSTRALIA

While data for WA was not available, experts are predicting that rental costs in the state will rise by as much as 9.5 per cent by the end of 2024, with Perth tenants tipped to be the hardest hit.