There has been a noticeable shift in the Mount Gambier property market, as the region emerges from a prolonged rental crisis.
Ray White Mt Gambier principal Tahlia Gabrielli said the once scarce rental options were beginning to show signs of improvement.
“We have started to see a little bit of a change; we are now seeing an increase in available stock, a similar trend to pre-COVID,” she said.
“Earlier on in the year and through COVID there was nothing available for people to choose from.
“Well-priced rentals are still moving very quickly, it is going back to what people want as well, such as modern homes with heating and cooling are quick to walk out the door.
“Other properties sitting above market which are also needing maybe some work or are not ticking a lot of those boxes that people want or expect are sitting a bit longer, but some are still walking out the door.
“I would say there have been some slight adjustments in all spectrums; change is definitely in the air.”
According to realestate.com, the current median rental price in Mount Gambier is $380 per week.
Ms Gabrielli believed the rental crisis in Mount Gambier had improved and said the waitlist for properties had decreased.
“Previously we would have so many applications per property, whereas now you might have a small handful of good applicants; the supply and demand has definitely changed in some areas,” she said.
“There is a lot more movement too, people were previously staying put and not wanting to leave their properties in case they could not find something else, but now people are more willing to break a lease and move around to find a more suitable / desirable property.”
Ms Gabrielli said affordable properties such as units or houses for $350 a week or less were in hot demand.
Ms Gabrielli said during COVID the number of available rental properties hit a record low, however there had now been a shift with stock levels increasing.
“We’re definitely advertising more for rent now and sale, but I think why it seems that way is because the (number of) days properties are sitting on the market has increased slightly,” she said.
“On realestate.com, through COVID you’d be lucky to have many rentals available for rent from any agency in the whole of Mount Gambier, but now it has increased.
“I think the market will go back to being a more normal market. It is not doom in gloom, it is a more normal, stable market.”
In regards to properties for sale, Ms Gabrielli said cost of living and interest rates were affecting some aspects, however she had observed similar trends to the rental market.
“Popular properties are walking out the door, we have had lots of inquiries of interest and we are selling a lot off market,” she said.
“We are finding people’s budgets have altered; clients were previously saying they could afford up to $500,000, but now their affordability might be more like $400,000.
“Interest rates have definitely affected people and their price point, which also reflects into rentals as now they are not able to spend as much per week for rent.”
According to realestate.com, the current median sale price for houses in Mount Gambier is $397,000.
Ms Gabrielli encouraged landlords to ensure their properties were well-maintained in order to attract the best possible tenant.
“From an investor point of view, you would want to make sure you have got a property suitable for tenants in any market, make sure you are updating your properties and keeping them attractive for quality, long term tenants,” she said.
“I understand that is a struggle financially sometimes and I know there is sometimes no extra money to fix things, so some people might consider if they should keep it as an investment property or if they should be offloading the investment – good to look at what option is right for each individual and their own personal situations.”
