Townsville Rents Ease Across Parts of the Region
In good news for tenants, rents dropped or remained stable across half of the Townsville region in the May quarter, while the majority of increases were sitting below 6 per cent.
The latest PropTrack data showed that, over the past three months, house rents across Greater Townsville were down in nine suburbs, stable in a further six, and up across 15 suburbs.
In the unit market, rents were down in three suburbs, stable in seven, and up in seven.
Low Vacancy Rates Remain a Concern
REIQ Chief Executive Antonia Mercorella said low vacancy rates, such as the 1 per cent vacancy rate in Townsville, remained concerning.
“The REIQ classifies a ‘healthy’ vacancy rate as between 2.6 and 3.5 per cent to sustain a stable rental market that caters to population growth and natural housing mobility,” Ms Mercorella said.
Rental Market Shows Signs of Recalibration
Ms Mercorella said rent decreases and stabilisation across Queensland suggested the market may have reached an affordability ceiling, prompting both lessors and tenants to recalibrate.
“Lessors are increasingly aware that each week a rental property sits vacant, it comes at a cost, and many are making pragmatic decisions around pricing to secure consistent, sustainable long-term tenancies,” she said.
“Property managers are reporting more subdued letting activity, longer days on market, and lessors being more careful with tenant selection.
“At the same time, tenants are staying put for longer where they can, recognising the value and stability of renewing existing leases in an uncertain market.”
Source: Townsville Bulletin, Wednesday 11 June 2025
