by Sanjeev Sah | Jul 30, 2024 | Market Updates

The rental market has shown some signs of slowing down, according to Domain’s June rental report. 

In the combined capitals, house rental rates rose over the June 2024 quarter, but at a rate 1.5 times slower than the previous quarter. For units, the pattern was similar with rental rates increasing at half the speed of the previous quarter. 

“Many cities are seeing the weakest outcome for a June quarter in a number of years. It shows that strong rates of rental growth are likely to be behind us,” said Domain chief of research and economics Dr Nicola Powell. 

While a slowdown over winter is expected, this decline appeared more pronounced, suggesting other factors were at play. 

But, even if rental rates have slowed down, they are still increasing.  

“It means that the affordability ceiling is being reached … budgets have been stretched to their max,” said Dr Powell.