General News
5 June, 2025
Rental market tightens up
QUEENLAND’S rental market has started 2025 with even fewer options for tenants, as vacancy rates continue to tighten across most of the state in the March 2025 quarter, with the number of tightening regions outweighing those that eased.
According to the Real Estate Institute of Queensland’s (REIQ) latest residential vacancy Rate Report, 24 of the 50 regions tightened, 12 held steady and just 14 saw any relief.
The statewide vacancy rate has slipped from one per cent to 0.9 per cent – breaking a three-quarter period of steady conditions and reinforcing the entrenched strain on rental supply.
Notably, the pressure is being felt across most of the state, with 38 out of 50 local government areas (LGAs) and subregions reporting vacancy rates of one per cent or less. This puts it firmly in ‘tight’ territory and far below the REIQ’s healthy benchmark of 2.6–3.5 per cent.
REIQ chief executive officer Antonia Mercorella said Queensland’s rental market had started 2025 with even fewer rental options, with vacancy rates tightening in nearly half of the report’s regions.
She said despite the pressure across most of Queensland, property managers were reporting more subdued letting activity, increased days on market and lessors being more careful with tenant selection.
“This paradox of lower activity despite a tight market reflects some fatigue on both sides: many renters are being priced out, stretching too far, or grouping up to rent, while lessors are holding firm on terms and expectations due to rising costs and more onerous legislative requirements.”
At the more extreme end, Cook and Goondiwindi both recorded zero vacancy, meaning virtually no lasting rental availability. A further 16 regions – including Maryborough, Toowoomba, Caloundra Coast and the Southern Downs – reported rates at or below 0.5 per cent.
