Asking rents in Auckland reach $500 per week
Auckland is frequently in the headlines when it comes to rentals and investment. Containing a quarter of the entire country's population, it is a hotspot for all things residential.
For the first time ever, Trade Me has reported that the median asking price for a week's rent for Auckland property has now cracked $500, continuing the trend of increasing property and rental prices across the per cent, translating to an extra $40 a week or $2080 a year.
"The pace of increase in asking prices for properties for sale is slowing… and median asking rents are catching up" says Head of Trade Me Property Nigel Jeffries.
Those investors interested in taking advantage of Auckland's continued growth should know that the highest increase was seen among townhouses, bringing the median up to $550 a week, an increase of 10 per cent, closely followed by apartments to $450 a week.
Compared to the rest of the country, which experienced a median increase of 7.5 per cent and an average of $430 a week, this increased rental yield in Auckland is particularly impressive, and is expected to continue into the new year.
However, despite these big numbers, these are not the largest increases seen. Whanganui and Manawatu rents have increased by 17.4 per cent from the previous year.
In other parts of the country, little growth was seen and rental yields in fact decreased. This was most obvious in Canterbury, the West Coast and Nelson, all of which on average showed a decrease in median rent rates.
With rental yields on the rise across Auckland and lower returns across much of the rest of the country, investors who have not already done so are expected to diversifying their residential property portfolios with their first properties in Auckland. Get in
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