by Sanjeev Sah | Feb 06, 2024 | Market Updates

Since the pandemic, asking rents in most Australian capital cities have risen significantly faster than wages, according to a new Domain analysis.  

While advertised rents initially fell in 2020 when the international border closed, they have surged since then amid low vacancy rates coupled with rapid population growth. 

As the table below shows, from December 2019 to December 2023, unit rents surged by 33% in Sydney and nearly 24% in Melbourne, with even higher rises in Brisbane (45%), Perth (62.5%), and Adelaide (43.6%).  

House rents escalated more sharply, with Sydney experiencing a 40% increase and Melbourne 28%. In Brisbane, Perth, and Adelaide, rent growth was 46.3%, 67.6% and 43.6% respectively. 

By contrast, Australian Bureau of Statistics data shows wages increased by 10.6% from December 2019 to September 2023 (the most recent data available).