Vacancy rates have returned to previous levels after a surge to end last year.
SQM Research has indicated that vacancies for January fell from 2.4% to 1.8%. While the company said this would usually be considered a substantial decline, the fall in vacancies has brought the market back to pre-Chrismas levels after a surge in December.
Though vacancies have wound back, SQM said the number was slightly higher than in November, and the numbers could indicate a trend toward a looser rental market.
Nevertheless, SQM Research managing director Louis Christopher said the rental market remains tight overall.
"Overall it is still a landlord's market for most parts of the country, with the exception of Melbourne. Perth vacancies appear to be quickly disappearing and I would suggest if vacancies persist at under 1%, then this will translate to accelerated rent hikes in that city of 2012," he said.
Sydney rentals gain breathing room
Melbourne rental market looking 'ominous'
No 'light at the end of the tunnel' for vacancies