Popular Rental Suburbs

Not all locations are created equal when it comes to rental demand, with some Australian suburbs much more popular than others. Proximity to universities, entertainment venues and other amenities play a huge role when people decide where to live, as do affordability considerations and current supply levels. Let's take a look at the most popular places to rent in Australia within a 20km radius of a major CBD using data provided by realestate.com.au (REA).

Whether you're a struggling student who wants to be close to the action or an investor looking for a solid return, knowing the most sought after rental locations is crucial. While traditional hotspots like Fitzroy and St Kilda are still popular with renters, surprisingly, most of the action at the moment is in Tasmania. In fact, when using REA rental demand data for the last six months of 2017, and median weekly rental data for the entire year, it was "The Island State" which took out the top five spots in the country.

Glenorchy in Tasmania was Australia's most in-demand rental suburb in the latter half of 2017, with each property listed there receiving an average of 2,520 online visits. Once an agricultural hub, Glenorchy is extremely popular with younger renters due to its affordability and close proximity to Hobart's CBD. Tasmania is unique in this regard, with median weekly rents in Glenorchy just $330 even though the suburb is only seven kilometres from the CBD. Moonah in Tasmania took outsecond position with an average of 2,313 views over six months. Moonah lies just five kilometres from the Hobart CBD, with the average weekly rent having risen by 11.1 percent over the course of the year to $360.

Located between the Derwent River and the foothills of Mount Wellington Park, South Hobart came third on the list with 2,195 average views. The average weekly rent in South Hobart is a little more pricey at $450 per week, but it's also just four kilometres from the CBD. West Hobart was fourth on the list, followed by another Hobart suburb, Kingston. Hobart's dominance in the rental market can be attributed to many factors, including affordability, strong millennial demographics, good employment prospects, a healthy tourism industry, and a strong education sector.

Fitzroy was sixth on the REA list for most popular rentals, with this inner Melbourne suburb famous for its hipster lifestyle, cafe culture, and vibrant night-life. Rental prices in Fitzroy cost a lot more than Tasmania, however, with the average weekly rent coming in at $650. While an average of 1,841 people viewed Fitzroy rental properties over the last six months, the demographics of the area are slowly changing from young residents aged 15-24 to older people with a higher disposable income. Other trendy Melbourne suburbs took out the next two spots, with average Carlton properties viewed 1,803 times over six months and St Kilda properties viewed 1,800 times. Both suburbs have an average weekly rent of $650. It's back to Tasmania for ninth and tenth spots on the list, with New Town properties getting 1,795 views at $450 a week, and Sandy Bay properties getting 1,735 views at $520 a week.


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