Brisbane is rent sting capital
19 September 2007
Brisbane is the most expensive Australian capital city for renters, according to a new report.
The Investors Club's national index of rental affordability was based on the proportion of full-time earnings needed to rent an average three-bedroom home in the June quarter.
In Brisbane, 28.3 per cent of earnings would go into rent, compared with 26.8 per cent in Hobart and 25.6 per cent in Perth.
Rent in Sydney would account for 24.8 per cent of earnings, followed by Adelaide on 24.5 per cent and Melbourne on 23.3 per cent.
Investors Club president Kevin Young said high interest rates were restricting the supply of new rental properties, while young families were forced to rent instead of buying their first home.
"The reserve bank is to blame for growing financial pressure that is now being placed on Australian families because of rising rents," he said.
Real Estate Institute of Australia data shows that in the past year, median weekly rents jumped 11.5 per cent in Brisbane and 20 per cent in Perth.
The Investors Club manages nearly 10,000 residential properties for its members throughout Australia.