Canterbury rents may soon be forced down as a rental property glut hits the market, industry experts say.
Tuesday, December 7th 2004, 5:48PM
by The Landlord
Rents for a three-bedroom house in a typical Christchurch suburb had risen from $230 to about $280 in the past two years as owners tried to cover their rising expenses, property manager Michelle Abley said.
Although the tenant base had grown as prospective first-home buyers were unable to afford rising house costs, the balance was shifting in tenants' favour because of a surplus of rental properties, she said.
"The rental market is very inflated but it is coming down because people are starting to say `I won't pay that'."
Christchurch investment association manager Martin Evans said rental prices would have to drop, but predicted it would not be by more than $10 in many cases.
