February saw continued strengthening in the rental market, with fewer new listings hitting the market, sustained tenant demand, and steady leasing activity. The RBA’s 0.25% interest rate cut provided some relief for investors and home owners alike, while lower tenant turnover has led to a tighter rental supply, keeping rental prices stable.
Leasing Trends & Market Activity
Total Leased: Chidiac Realty leased 36 properties in February, including 28 in Wentworth Point, securing a 23% market share of all leased properties in the suburb.
New Listings: Chidiac Realty listed 21 new properties in Wentworth Point, contributing to the suburb’s total of 119 new listings, down 40% from January (196 new listings).
Market Observations: 162 properties were leased in Wentworth Point, an 8% increase from January (150 leased properties), suggesting a faster-moving market despite lower stock levels.
Relets: 22 relets in February, down 8% from January (24 relets) and 48% year-on-year, reflecting reduced tenant turnover.
Days on Market
Median days on market for Chidiac Realty: 11.5 days (Dec 2024 – Feb 2025 rolling average).
Average days on market for February: 14 days, 55% faster than the suburb-wide average of 32 days.
Suburb-wide leasing times improved, dropping 15% from January (38 days to 32 days), indicating properties are moving faster as stock tightens.
Rental Rates and Market Adjustments
Rental prices showed resilience amid shifting supply and demand trends:
Median rent (Jan 2024 – Feb 2025): $720 per week.
1-bedroom apartments leased by Chidiac: $677 per week, up 2.5% from January and 5% year-on-year.
2-bedroom apartments leased by Chidiac: $782 per week, down 0.5% from January but up 2% year-on-year.
Tighter supply and fewer tenant vacates have kept stock levels low, with potential for increases if stock remains low in the coming months.
Legislative Changes & Market Impact
The NSW Government is set to introduce Residential Tenancies Act reforms by mid-2025, bringing key changes for landlords and tenants:
No-Ground Eviction Restrictions: Landlords will need specific reasons to terminate leases.
Pet Ownership Regulations: Landlords will have less discretion to refuse pets, with stricter approval guidelines.
Termination Protections & Evidence Requirements: Increased documentation and penalties for misusing grounds for lease termination.
These changes emphasise the importance of proactive lease management, tenant relationships, and clear documentation. We will continue to monitor developments and provide guidance as implementation nears.
Market Outlook & Investor Confidence
Lower tenant turnover and reduced supply are maintaining rental stability, with potential for further rent increases if stock levels remain low.
Sydney’s vacancy rate has risen slightly to ~2.0%, but Wentworth Point remains higher at ~4.1% due to new apartment developments.
Investor sentiment is expected to improve following the RBA’s 0.25% rate cut, with potential increased property market activity.
Looking Ahead
With fewer properties hitting the market and demand remaining steady, landlords who price competitively are seeing shorter vacancy periods and strong tenant interest. As we move into the next quarter, staying ahead of legislative changes and adjusting to evolving market conditions will be key.
If you’re considering leasing your property, now is an opportune time to secure a quality tenant. Reach out to our team for expert advice on maximising your rental returns.
