Sydney Vacancy Rate Contracts

It seems that it is harder and harder to find rental properties in Sydney as the vacancy rate dropped to by 0.3 per cent to 1.9 per cent in February.

The Real Estate Institute of New South Wales (REINSW) Vacancy Rate Survey found that the outer suburbs of the city recorded the most drastic decline. Locales more than 25 kilometres from the CBD saw a 0.4 per cent drop, sitting on 1.8 per cent.

Both the inner and middle suburbs are sitting on two per cent, with the middle locales experiencing a 0.4 per cent decline, while the inner suburbs remained stable.

REINSW president Christian Payne explained that his institute was expecting these results.

He said: "The market will continue to tighten due to the lack of supply caused by the government's failure to provide appropriate incentives to invest in property market.

"This dire situation will not resolve itself. We need action today from the government to address the inadequate, expensive and complex planning system, and an inequitable property tax regime."

Mr Payne continued by saying that without immediate action from the New South Wales government, the state could suffer from the economic and social impacts of inadequate housing.