Thinking of moving to the River City? Located in the sunny state of Queensland, Brisbane has a lot to offer its residents. With stunning beaches and plenty of green spaces, to a vibrant cultural scene and an active business centre, it’s no surprise the city has seen a significant increase in demand for rental properties in recent years.

We’re taking a closer look at the rental market, the average price change over the years and the prices you can expect to pay in 2024. Whether you’re a student, a young professional or a family looking to settle down in Brisbane, this is the guide for you.

Australia's ongoing rental crisis has hit Brisbane hard, resulting in some of the sharpest falls in affordable housing prices. By 2023, the availability of rental properties below $400 per week in Australia had fallen to 17.6%, a sharp decline from the year before. This year has offered no relief to tenants with cost of living continuing to rise, while wages fall further behind, and a third fewer properties are now $400 or under per week.

Let’s take a look at some of the reasons for the current rental shortage.

The opening of Australia's borders in late 2021 led to a significant increase in demand for rental properties, particularly in major cities like Brisbane, which are popular destinations for professionals, international students and tourists.

Devastating floods in March 2022 displaced hundreds of families and damaged many properties, further tightening the rental market and leading to a rise in rental prices.

The Australian Bureau of Statistics (ABS) also noted a trend of population movement from capital cities to regional areas, and Queensland has seen a lot of this activity.

The state proactively promoted regional migration as part of its economic development strategy; this put additional pressure on rental markets in urban areas like Brisbane, where demand for rental properties was already high.

The subsequent shortage of rental properties resulted in Brisbane’s rental market experiencing record rent hikes, with house rents rising by 18.1% and unit rents by 13.6% across 2022.

However, a March 2023 Rental Report by Domain, shows that while prices continued to increase, the rate of growth slowed.

In April of 2024, Core Logic reported an annual increase in weekly median rent of 8.5%, while other reports suggested it was beyond 10%.

Canstar reports the 10 best suburbs best for investment include: Bellbird Park, Bowen Hills, Cleveland, Eagleby, Goodna, Milton, Nundah, Petrie, Springwood and Wavell Heights. These suburbs have strong demand and promise solid rental yields.

Conversely, Soho suggests the most affordable suburbs for tenants looking for a good deal include: Rocklea, Nathan, Springfield Lakes, Salisbury, Dara and Wacol.

Brisbane's rental market has undergone significant changes in recent years. In 2018,  the city experienced the highest interstate migration rates in the country, thanks to affordable housing and employment opportunities. However, this led to reduced rental demand in Greater Brisbane and increased demand in the inner city, which saw little to no stock due to the unit construction boom.

Reports from Domain indicate unit rents dropped by an average of 5.5% annually, while house rents fared slightly better, with an average rental hike of 1.5%.

In 2019, the rental market in Brisbane tightened slightly, with houses in Greater Brisbane and Brisbane City Council reporting slight rent hikes, while house rents in other areas showed little to no change. The annual rental growth rate for units was 1.3%, with the vacancy rate falling from 3.1% to 2.9%. The strongest increase in unit rents was in the inner city, where fully-furnished apartments were in high demand among interstate workers, international students, and business executives.

The rental market in Brisbane continued to tighten in 2020, with houses reporting a 3.7% annual rent increase and units reporting 3.9%. The city surpassed Melbourne in rental rates for the first time in 5 years, and the demand for inner-city apartments picked up due to the work from home trend.

In 2021, the staggering rise in average rent for houses and units with more bedrooms was primarily driven by the pandemic-induced work from home trend, coupled with low-interest rates and a shortage of housing supply. During the year, the average house rent in Brisbane rose by 12.9%, and units rose by a record 5%. This made Brisbane achieve a record for the longest period of continued rental growth in 2021, with house rents having risen across a record of 6 consecutive quarters. 

By the end of 2022, the city’s streak of rising house rents had halted and held steady at a record high, while unit rents continued to break records with a 14.3% annual growth rate and 14.6% annual rental hike. Brisbane was also reported to have some of the highest rental yield suburbs in 2022. 

In 2023, rent continued to rise. Demand subsided very slightly but not enough to offer tenants any relief.

The beginning of this year has continued to see challenges to the construction industry, slowing the delivery of new homes into the market and further exacerbating problems related to demand.

Despite a slump in 2019, Brisbane's house rents shot up during the next few years as the borders reopened and rental requirements changed.

• Brisbane median weekly house rent 2018: $450
• Brisbane median weekly house rent 2019: $461
• Brisbane median weekly house rent 2020: $467
• Brisbane median weekly house rent 2021: $511
• Brisbane median weekly house rent 2022: $620
• Brisbane median weekly house rent 2023: $674

Source: SQM Research 

The city’s unit construction boom stirred up traditional rents. Rental prices in Brisbane picked up again from 2019, as more and more tenants chose space, comfort and convenience for their ‘new normal’.

• Brisbane median weekly unit rent 2018: $370
• Brisbane median weekly unit rent 2019: $376
• Brisbane median weekly unit rent 2020: $381
• Brisbane median weekly unit rent 2021: $393
• Brisbane median weekly unit rent 2022: $448
• Brisbane median weekly unit rent 2023: $526

Source: SQM Research

Sources: Canstar and Open Agent

Sources: Metropole and Realestate.com.au

The Brisbane rental market is expected to remain tight due to the city’s high quality of life, growing employment opportunities, and ongoing infrastructure developments, including preparations for the 2032 Olympic Games. 

The city's successful bid to host the Olympics has created optimism and confidence in the local real estate market, with projected increases in rental demand along with rental hikes. Experts predict that inner-city areas and student campus locations in particular may experience high pressure rental markets.

The current lack of rental supply has quickly spun Brisbane into a housing crisis. SQM Research reports that there are currently around 33,177 vacant properties in Australia - and its population is expected to grow by around 160,000 to 200,000 people every year.

Experts predict that the lack of housing supply, coupled with rising rental costs, may cause tenants to turn towards units for affordability. According to Home Loan Experts, unit rents are predicted to grow by 19% by 2025.

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