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Rents shift upwards in NSW

Rents are on the rise again in Sydney and metropolitan New South Wales in what is good news for investors but not so good for renters looking to save first home deposits.

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According to official figures from the New South Wales government, average rents rose to $410 per week in the June quarter – $10 higher than three months ago and $20 higher than the same time last year.

Housing minister Frank Terenzini said the figures showed rental increases marginally higher than the March quarter but didn’t reflect a steep increase predicted by some commentators.

The rental market remained tight however, he commented, with Sydney’s vacancy rate sitting at 1.2 per cent, Wollongong’s at 1.1 per cent and Newcastle’s at 1.6 per cent.

Over the year to June rents rose most in the inner city ring ($30), the government figures showed, while the middle and outer rings demonstrated more moderate increases of $20.

The biggest annual rent increases for three bedroom houses over the year occurred in the Local Government Areas of Willoughby (17.6 per cent to $800), Ryde (14.6 per cent to $550) and Marrickville (12.7 per cent to $620).

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