Supply outweighs demand in rental market
Article by Mozo
Home loan customers who are looking to make some easy cash may be considering renting out a room in their property, after it was revealed that the demand for rented accommodation is extremely high.
Chief executive officer at the Real Estate Institute of NSW Tim McKibbin told the Daily Telegraph that although house prices are sluggish at the moment, landlords look set to fare well because of the huge queues for rented rooms.
Indeed, he stated that property owners can afford to be far more selective when choosing tenants and they can also put their rates up, as the demand for accommodation is far outweighing supply.
Mr McKibbin said it is definitely a "landlord's market".
"When you've got 30 people lining up for the one property, you're essentially going to have 29 people missing out," he was reported as saying.
Last week, a poll conducted by Auspoll on behalf of the Property Council of Australia showed that 78 per cent of homeowners wanted to see changes made to the planning system, as not enough developments are getting the green light at present.
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