Rents soar across Melbourne

Melbourne’s rents are soaring as the city awakens from its pandemic slumber and people return to the city.

Inner-city suburbs are experiencing the highest rental increase, as they were the hardest hit by the pandemic.

Leah Calnan, director and former president of Real Estate Institute of Victoria, told Tom Elliott said there were a combination of factors increasing rents.

“We’re seeing extraordinary medium house prices across many suburbs, so there is an opportunity for owners to cash out of the market effectively,” she told Tom Elliott on 3AW Drive.

“They’ve got increased costs … land tax, councils rates etc, and unfortunately that doesn’t replenish the rental supply.

“There is certainly a rental shortage brewing.”

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