The latest figures out from the Tenancy Services website shows rents rising on all property sizes in the Johnsonville/Newlands area with good numbers of properties being tenanted.
Though anecdotal evidence suggests that there is a build up of vacant properties across Wellington with more than 1100 properties for rent on Trademe currently, average rents don’t seem to have suffered in this area.
It could be that landlords are raising rents in order to compensate for the coming decrease in tax benefits available to property investors. There may also be a move by tenants into the Johnsonville/Newlands area from more expensive areas closer to the city.
Whether this current buoyancy continues into the later half of the year we will have to wait and see, but rising rents and low interest rates (most major banks have dropped their two year rates recently ) arte keeping things on an even keel for longer term land lords currently.
