Tight rental conditions in the Northern Territory are encouraging more first-time researchers to consider buying instead of renting, according to the latest CoreLogic study.
In the past 12 months through April, the median asking weekly rent in his capital Darwin has increased by $ 70. During the same period, the value of combined rental appraisals increased by 18.0%, significantly more than the national average of 4.9%.
"Combined with low interest rates, positive cash flow opportunities may encourage investors to return to this market," the report says. “Unfavorable rental conditions for tenants can encourage more potential first-time buyers to buy instead of renting. "
This rapid increase in rents is one of the main drivers of the increase in home values ??across the country. In the year through April, Darwin recorded the highest annual gain in home values ??among capital cities, at 15.3%, driven by the 18.2% growth in the home values ??and the 9.5% increase in unit values.
Despite this rapid growth, the overall value of Darwin's housing market remains 19.5% lower than the record of May 2014.
The still tense rental market conditions and low interest rate environment are likely to remain the main drivers of Darwin's territory and real estate market.
“In the longer term, it appears that the negative numbers for interstate migration are tightening. Relaxing social distancing and border restrictions could boost domestic tourism in the territory, which would help to gradually recover this sector and could have positive flows. on the effects for the pockets of the real estate market, "the study states.
Top Suburbs:
kawana
,
fresh water
,
upper kedron
,
miller
,
emerald
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