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Navigating Changing Conditions
Over the past few years, rental markets across Canberra have gone through significant change. During COVID-19, many landlords agreed to rental reductions in order to support tenants and maintain stable tenancies during an uncertain time.
Those decisions helped many renters stay in their homes and provided valuable continuity of rental income for owners, but the impacts of changed market conditions are now becoming apparent.
Why Rent Increases Feel So Restrictive
Rental legislation ensures that increases are fair and justifiable, typically based on CPI or current market evidence. For properties where rents were reduced during COVID-19, this can mean the path back to being able to charge market value is glacial.
While demand has strengthened and market rents have lifted, some owners find their rental income has not caught up, even though their property is well maintained and highly sought after. We are seeing some owners question whether holding their property still makes sense, particularly when rental income growth feels restricted. Selling can seem like a logical response, but it is not the only or necessarily the best option.
Creating Opportunity Through Proactive Management
When a tenancy naturally comes to an end, or where changes are already being considered, there can be an opportunity to reposition the property in line with current market conditions.
This approach may involve reviewing the timing of lease renewals, making small improvements, or thoughtfully reintroducing the property to the market at a rent that reflects today’s market value. When handled professionally, this process remains respectful to existing or terminating tenants and fully compliant with legislation.
The post COVID‑19 rental environment does not need to feel limiting. With clear information, careful planning and experienced property management support, owners can make confident decisions that protect their investment and strengthen future returns.
Our role is to guide you through your options, help you understand the market, and create a strategy that works for you now and into the future.
Need advice on how to best position your property for the future? We are here to help.