According to a recent CoreLogic report, rent values in Australia’s capital cities rose by 10% in the year leading up to September, driven by factors like limited housing supply, net overseas migration, and shifts in population between cities and regions. Yet, it’s not all doom and gloom, with affordable suburbs within 20 kilometres of CBDs offering opportunities for tenants seeking more budget-friendly options.
The lowest rents within 20 km of the Sydney CBD were concentrated across Parramatta and the Inner Southwest. Weekly house rents in this region ranged from $648 in Auburn to $676 in Granville, around 15% lower than the greater capital city median of $775 per week. The unit markets pose excellent value, with median rents averaging around 27% lower than the Greater Sydney median unit rent of $680 per week.
In Melbourne, eight of the ten markets with the lowest rents 20 km from the CBD were in the city’s west. The lowest house rents averaged $442 per week or 23% below the Greater Melbourne weekly rent value of $575.
Within 20 kilometres of the CBD, suburbs like Albanvale and Kings Park have hour-long door-to-desk commutes to the city via public transport. It is not ideal for city-working students or young professionals, but attractive for young families due to affordable house rents. Nearby employment hubs in the city’s west, including industrial and warehousing precincts, make these suburbs viable, while a half-hour car commute to the city is possible.
The most affordable median weekly rents within a 20-kilometre radius of Brisbane’s CBD were predominantly concentrated in the Ipswich and Logan–Beaudesert areas. House rents in these regions averaged approximately 19% less than the median rent in Greater Brisbane, while unit rentals were about 22% lower in price.
According to CoreLogic, eight of the ten most affordable housing markets within 20 kilometres of Adelaide’s CBD are in North Adelaide, with St. Marys and Taperoo as exceptions. Adelaide’s rents increased by 7.2% in the past year and 32.9% since the pandemic began, with median house and unit rents at $568 and $463 per week, respectively.
Taperoo, at $502 a week, also stands out as one of the most unique suburbs to make CoreLogic’s list of affordable rentals. With its stunning foreshore and beach, it’s just an 8-minute drive from the vibrant Port Adelaide, known for its breweries and cafes.
The lowest weekly unit rents in Adelaide ranged from $361 per week in Salisbury East to $403 in St Marys, averaging 16% below the city-wide median.
The most affordable house rentals within 20 km of Perth CBD varied from $491 in Girrawheen to $519 in Koondoola, just 12 km from the CBD and a half-hour drive away. Koondoola offers space and includes the Koondoola Regional Bushland, with rents averaging 17% below Greater Perth’s median rent of $613.
Within 20 km of Hobart’s centre, Bridgewater and Berriedale boast the lowest median house rents at $485 and $516 per week, respectively, averaging 7% below Greater Hobart’s median. Berriedale offers the closest housing market to the city CBD, with a half-hour bus ride or a 20-minute drive for easy access.
In the Nation’s Capital, median house rents vary from $597 weekly in Higgins to $599 weekly in Holt, Page, and Charnwood. These suburbs average 12.7% below the city-wide median. Page, the nearest to Canberra’s centre, enjoys proximity to the vibrant Belconnen commercial hub and is less than a 10-minute drive from the University of Canberra. Higgins and Scullin, with slightly lower median rents, are situated just west of Page.
In Darwin, the lowest house rents identified by CoreLogic were across Moulden, Gray, Driver, Woodroffe, and Bakewell. Median rents in these house markets ranged from $539 per week to $591, averaging 16% below the median house rent across greater Darwin. Each of these suburbs is in the Palmerston region.
For more information about rents in your suburb, talk to your local Raine & Horne Property Manager.