As reported in the Gold Coast Bulletin, new figures have revealed the rental property vacancy rate on the Gold Coast is among the worst in Queensland due to high unemployment and downturns in the city’s key industries.
The situation is so bad, buyers who purchased investment properties are struggling to cover costs as many drastically reduce rental prices to attract tenants.
The annual report of the Residential Tenancies Authority, released yesterday, shows the vacancy rate on the Gold Coast is 5.5 per cent, significantly higher than the state average (3.8 per cent) and inner Brisbane (2.2 per cent).
Rainbow Bay Rentals
Unit Owners Association of Queensland vice-president Paul Cassels said a combination of factors had painted a grim picture for Gold Coast property owners.
“The issue down on the Gold Coast is there are a lot of units controlled by caretaker managers who prefer overnight stays rather than permanent rentals,” he said. “The other thing is the building and construction industries are dead.
“The cost associated with units on the Gold Coast makes the rents higher, especially with upkeep and body corporate fees. A lot of people can’t get the return they used to get and, as a result, there is a huge amount of oversupply.”