Top suburbs record strong rental price growth despite overall cooling

Canberra’s rental market may have cooled overall, but some suburbs have recorded significant price growth over the past year.

Domain’s latest Rental Report shows that unit rents soared by 40 per cent in Red Hill, more than anywhere else in the capital.

Over the past five years, unit rents in the popular suburb have increased by a staggering 70.7 per cent, with the weekly median now $700.

By contrast, house rents in Red Hill recorded a more moderate 5 per cent rise over the year to reach a median of $1050 a week, making it the most expensive in the ACT.

$1,100 per week

40 Hicks St, Red Hill ACT 2603

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Closer to the city centre, Downer recorded stable growth for units, with an annual spike of 9.2 per cent, while nearby in Hackett, house rents increased by 7.1 per cent to reach a median of $750 a week.

It was a similar story in the Woden Valley, with house rents in Isaacs rising by 7.9 per cent to a median of $820 a week while the median house rent in Phillip jumped 6.4 per cent to $620 per week.

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Neighbouring Hughes also experienced an increase of 4.9 per cent to sit at a median of $750 a week for houses.

Rental demand in Belconnen is also gaining momentum, though the gap between weekly asking rents for houses and units has narrowed to $570 and $530, respectively.

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On the flip side, the report shows that many suburbs, such as Deakin, witnessed declines in asking rentals, with houses dropping by 18.8 per cent to a median weekly rent of $813.