Central Coast Landlords Rejoice
The current Central Coast rental market is booming and Central Coast Landlords are reaping the rewards. As of November 2020, the Central Coast rental market is in full swing with the current vacancy rate across the Central Coast under 1% which is causing rent prices to soar due to the low supply and high demand.
Central Coast Landlords are securing tenants faster than ever with record prices being achieved. At Key2 Realty we currently have no properties available for lease and the current listings available on www.realestate.com.au are at a record low rate for this time of the year.
Some recent examples of the current state of the rental market:
- During November, Key2 Realty had a 2-bedroom property for lease in Saratoga NSW 2251. It was listed for $460 per week, we had one inspection with 14 groups of people in attendance. We received 10 applications for the property with multiple offers above the asking rent price and leased the property for $510 per week on a 12 month lease. Key2 Realty agent Scott Falzon said “this was a very strong result for the area and the property, we had multiple people miss out and we could have leased the home several times over to quality tenants”.
- Another recent result for Key2 Realty was a 4-bedroom property located at Tuggerah NSW 2259. This property was listed for $520 per week, after one inspection the property received 16 applications and was leased to quality tenants on a 6-month lease. This property was located in a strong family orientated area of the Central Coast and is a great investment ‘hot spot’ for Landlords due to the close proximity to the freeway.
Key2 Realty agent Jonathan McCaig said “The current state of the rental market is the strongest I have seen in 17 years of Real Estate. The high demand from people relocating from Sydney is driving prices up in popular beachside areas and areas with good transport facilities”. Key2 Realty has seen a high demand for 2-bedroom units and 2-bedroom granny flats as these properties are popular for couples and single people needing to set up a work from home space. Landlords looking to invest on the Central Coast should be looking at areas with good access to the freeway or trainline, close to beaches and close to shopping centres. The Central Coast has many areas that offer these traits such as Gosford, Woy Woy, Killarney Vale, Berkeley Vale and Hamlyn Terrace just to name a few.
The Central Coast has always been a great area to invest in real estate, giving Landlords anywhere from 4-7% return on average. Demand for Central Coast rental properties is always high but the current conditions in the marketplace are some of the strongest Key2 Realty has ever seen. Properties on average take 1-2 weeks to lease with the average days on market being 18. In the current rental market, the average days are four which indicates how many people there are out there looking at properties on the Central Coast.
What does this mean for rent prices going forward?
Prices will remain high until after the new year and should continue into late 2021. Supply is always the main factor that affects the rental market and if the current rate of supply continues, prices will only remain high for a long time. It is difficult for tenants on the Central Coast trying to secure a property or relocate from Sydney. Key2 Realty currently sees on average 10 groups of people at every open for inspection over the last few months, with at least half of the people coming from Sydney.
At Key2 Realty we try to make the moving process as easy possible for tenants while still trying to achieve the best for our Landlords. Key2 Realty offers tenants the option to book into open for inspections online or in person, hard copy forms or online applications to apply for properties and the option to join a tenant database so they can find out about upcoming properties as they hit the market.
Key2 Realty is also working with a lot of their current clients who have properties that are capable of further develop to build things such as small townhouse complexes, granny flats on existing properties and small complexes of 1 and 2 bedroom units so they can expand their rental portfolios and cash in on the strong rental market.
So to sum up, Central Coast Landlords Rejoice!!! The rental market is strong and interest rates are low. It is a great time to be a Landlord and own property on the Central Coast.
If you’re looking to expand your property portfolio or have a property that you think you can further develop, contact Key2 Realty on 4326 5566 or email@example.com to discuss how we can help you.