Lack of affordable rental properties blamed on investors turning away

As the Reserve Bank announced its 10^th consecutive hike up to 3.6 per cent, a glance at rental property availability at the Twin Cities showed pressure mounting on aspiring tenants.

As at 2.30pm on Tuesday, properties advertised for $400 a week or lower stood at 39 in Albury and 61 in Wodonga.

According to market research company PropTrack, in NSW, the median rent for houses outside of Sydney was $500, while in Victoria outside of Melbourne was lower at $420.

The median rent for NSW units outside of the capital was $420, and $320 for regional Victoria, while nationally unit rental price last year grew by 9.5 per cent.

While many pundits blamed the lack of available leases on investors steering away from buying rental properties, an Albury-based property manager said many tenants shut themselves out of the already tiny market by failing to meet basic criteria.

"I'm not surprised at the lack of properties in Albury and Wodonga for under $400, but many tenants do make it hard for themselves," Leading Property Group director Lucinda Morgan told The Border Mail.

"For each of those 39 properties in Albury, I can guarantee you there would be dozens of people immediately filling out applications and if any have a record of failing to pay rent at their last residence, they will be off the list before they get anywhere," Ms Morgan said.

"If you are a tenant and you have a record of not looking after your previous property it's all on the record.

"But both of these things are the main reasons investors are shying away from buying investor properties - they just don't need that, plus all the red tape associated with being a landlord."

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Graham Cooke, head of consumer research at comparison website Finder, said: "Pressure is building for renters with the number of new housing loans for owner-occupiers and investors falling 30 per cent and 27 per cent respectively, last December versus December 2021."

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