High Vacancy Rate in Kangaroo Point Amid Queensland’s Housing Crisis

Vacancy Rate
Kangaroo Point (Photo credit: Peter Bowring/Google Maps)

Kangaroo Point has been identified as one of the Queensland suburbs with a high vacancy rate where many homes are sitting empty, amid a growing housing crisis in the State.

Read: Decade-Long Vision Realised for Riverside Gaia Apartments in Kangaroo Point

Kangaroo Point reported an 18 percent vacancy rate, highlighting a glut of empty units in the city. This was based on the latest Census, which also revealed that on average, 34 percent of homes in various suburbs in Queensland were unoccupied.

In remote coastal towns and small resort communities, some suburbs resemble ghost towns due to high vacancy rates. The most extreme case is Kooringal in Moreton Bay, where a staggering 91 percent of residences were unoccupied based on Census, far exceeding the national average of one million vacant homes across Australia. 

Photo credit: Alexander F Ungerer/Pexels

What’s Causing These Vacancies?

Several factors contribute to this high number of empty homes:

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  • Short-Stay Rentals: Properties used for short-term rentals may be vacant when not booked.
  • Land Banking: Developers may keep properties empty, waiting for their value to increase.
  • Renovations and Sales: Homes may be vacant whilst being renovated, sold, or waiting for new tenants.

Aside from Kangaroo Point, both the CBD and South Brisbane exhibited significant vacancy rates in Brisbane, with 25 percent and 20 percent of homes respectively sitting empty. These figures underscore the widespread challenge of housing availability in both regional and urban areas.

Experts point out that these figures don’t necessarily mean these homes are empty all the time. However, they stress that increasing the number of long-term rental properties could help ease the housing shortage.

Photo credit: RDNE Stock Project/Pexels 

Housing Crisis in Queensland

Queensland’s housing crisis is multifaceted, affecting both tenants and homeowners. The struggle to afford rising rents and mortgage repayments is a common concern. 

According to realestate.com.au, the median rental price in Kangaroo Point from June 2023 to May 2024 was $710 per week, marking a 7.6 percent increase over the last 12 months. Whilst not the highest in Brisbane, this figure surpasses the city’s average rental price of $649 per week as of 2024.

Read: Kangaroo Point Penthouse Achieves Record $14 Million Sale, Sets New Benchmark in Brisbane’s Luxury Market

Addressing the housing crisis will require efforts from various sectors to make sure people can find affordable and secure housing. The recent data highlights the challenges and the need for comprehensive solutions.

Published 17-June-2024