Vacancy Survey 2022 Q4

Business confidence plays a critical role in the performance of the residential property sector and when combined with ever-rising interest rates and stagnant salaries, it is inevitable that more and more consumers turn to rental properties than home ownership in uncertain economic times. The national vacancy rate – the number of properties standing vacant – dropped down to a low of 6.92% in the third quarter of 2022, rising to 8.13% in the fourth quarter. The increase in vacancies was the result of delayed supply and inventory coming onto the market with the supply rating showing a marginal uptick from 57.53 in the third quarter to 58.47 in the fourth quarter. At the same time, the demand rating increased from 67.24 points to 71.38 from the third quarter to the fourth quarter, indicating an overall confidence in the residential rental market and placing the sector in positive territory.