Vacancy rate falls to 0.8%

The rental market has turned even further in favour of property investors, with the vacancy rate falling to an astonishing new low.

The vacancy rate declined from 0.9% in September to record-low 0.8% in October, according to Domain.

That means only 8 out of every 1000 rental properties were vacant across Australia during October.

Domain’s chief of economics and research, Nicola Powell, said the rental shortage was unlikely to end anytime soon.

“Although the government has committed to building more housing, we need to see further progress and a change in land use and planning rules to allow for more homes to be built in middle-ring suburbs,” she said.

“If some of these issues are addressed, this will no doubt have a positive impact on easing rental conditions.”