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Christchurch rents up 26 percent

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Christchurch rents up 26 percent

3News NZ

Listings of houses for rent in Christchurch are down 34pct

Listings of houses for rent in Christchurch are down 34pct

Rents in Christchurch have sky-rocketed 26 percent in the past year while nationally rents are up just 4 percent, according to Trade Me Property's analysis for the three months ended June compared with the same quarter last year.

At the same time, listings of houses for rent in Christchurch are down 34 percent, even as demand jumped 47 percent. Nationally, listings are up 4 per cent while demand is steady.

"The news for prospective Christchurch tenants is still grim," said Brendon Skipper, head of Trade Me Property.

The "pressure cooker" suburbs in Christchurch are the central city, Linwood and St Albans.

"We've seen the number of properties available for rent in these three suburbs plummet more than 40 percent on a year ago and, on the flipside, the properties that do get listed are attracting huge volumes of enquiry," Mr Skipper said.

While shortages of houses to rent in the Auckland have prompted media coverage, Trade Me found listings in the city are up 20 percent and demand is down 18 percent.

"The winter hibernation period sees tenants hunker down so we often see listing numbers swell and demand taper off," Mr Skipper said.

Still, the increase in listings and reduced demand in central Auckland hasn't led to lower rents, he said. Average rents in Auckland city are flat, while Manukau's and Waitakere's are up 4 per cent and North Shore's are up 5 percent.

One reason demand has softened in Auckland is that tenants are looking to become home owners, he said.

NZN

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Comments

6/07/2012 12:07:47 p.m.

Mike wrote:

Supply and demand.

We need the RMA fixed to allow more building, and the Christchurch re-build.

The opposition is worried about stuffing NZ up that they dont want lower home prices, lower rents, nor more jobs, so they are doing their best to stop or slow down all efforts in Christchurch, then complain that things are not happening when its their own actions also contributing to the problem!

On the other side, Auckland has a housing shortage. We need the RMA cleaned up to help fix that problem which would see as many new homes built as Christchurch needs, also lowering home prices, rents, and increasing employment - all things the opposition is against!