Domain rental report puts Karratha at No.1 spot for areas with biggest annual rent increase

New rental data from property website Domain reveals that Karratha, Hedland, and Broome are among the Australian local government areas experiencing substantial spikes in median weekly asking rents for houses. WA’s North West region, particularly Karratha, leads the nation with an annual rise of 37.5 per cent, reaching a median weekly rent of $1100. In the past year, Greater Geraldton, Karratha, Hedland, and Broome have seen notable increases in median weekly asking rents. Karratha’s top-ranking surge is followed by Hedland and Broome, both boasting weekly rents of $900, only marginally lower than Byron in NSW at $950 a week. The Domain report also showed Perth carried on its record stretch of rising rental prices and continues to be the most competitive city in the country for tenants. The median price for house rentals in Perth reached $620 — a record high — in the December quarter, a 3.3 per cent increase on the previous quarter and a 17 per cent rise year-on-year ($530). The median asking price for unit rentals has reached $520. “In contrast to closing gaps in some other cities, the rental price difference between houses and units remains at its highest dollar figure on record,” the report said. Perth is on par with Adelaide in having the lowest vacancy rate in the country, at 0.4 per cent. Rents in most other capital cities steadied in the December quarter, ending a record stretch of 10 consecutive quarterly increases. However, in positive news for Sandgropers, the report predicts a rise in the number of properties for rent “towards the end of the year”. According to Domain, 30,000-60,000 more homes are needed across the country to shift to a “balanced market”, which is considered to be a rental vacancy rate of 2-3 per cent. “To help alleviate Australia’s housing crisis long term, further solutions need to be activated, such as build-to-rent,” Domain chief of research and economics Nicola Powell said. “It provides a significant amount of rental housing supply at scale and speed. With the cost of home ownership becoming more and more expensive in major cosmopolitan cities, it can act as a key circuit breaker for housing affordability.”