The market for renters in Dubbo is actually getting better, not worse

In Dubbo, the median weekly rent was $410 at the end of 2023, up only $10 or 2.5 per cent from the previous year, according to Proptrack data.

This is compared with the median rental in Sydney, which was $750 per week at the end of 2023, up 13.6 per cent from the previous year.

Cameron Kusher, director economic research, PropTrack, pointed to Dubbo rental price rises easing, despite higher growth in other inland cities.

"Rents in the Far West Orana region grew 2.5 per cent in 2023. The Capital Region was the only NSW inland region to experience slower rental growth over the year," Mr Kusher told the Daily Liberal.

"Across the combined capital cities, rents were 13.2 per cent higher in 2023, so the Far West Orana recorded much slower rental growth. Regional rents increased 4.2 per cent over the year."

He said the median rent in the region was $410 per week in December 2023, up from $400 in September 2023 and $400 in December 2022.

"We are expecting slow rental growth in the region as more stock becomes available for rent, highlighted by the annual increase in both new and total rental listings on realestate.com.au," Mr Kusher said.

Fiona Gibbs, property manager at Bob Berry Real Estate in Dubbo, painted a similar picture.

She said the market was stabilising and she expected it to continue to do so during 2024.

"The median rents have been increasing steadily, but the latest statistics show the increase is slowing, and in the last couple of quarters, the market is stabilising," she said, citing Housing NSW data.

Mrs Gibbs said the vacancy rate for the Orana region sat at 2.5 per cent for December 2023, which she called "not too bad".

This is compared to the 3.1 per cent vacancy rate in December 2022, and going back five years to December 2017, the vacancy rate was at 2.5 per cent.

"During COVID times, the vacancy rate went quite a lot lower. It has gone up since then, which means there's more [stock] available on the market," Mrs Gibbs said.

The median weekly rent for a one-bedroom house in Dubbo during the quarter ending September 2023 was $250 (down 16.67 per cent from the same period the previous year), and the median for a two-bedroom was $340 (up 3.03 per cent), Housing NSW data shows.

For a three-bedroom house, the median was $440 (up 4.6 per cent) and for four bedrooms it was $550 (up 5.77 per cent).

Mrs Gibbs said an average of around 10-12 parties were applying for each property in Dubbo, and she didn't recall this being any higher than the same period last year or even five years ago.

She said there would always be people who missed out on rentals, which might increase the perception that the market is tougher than it is.

Regarding rental prices rising, she said it was happening in line with the cost of living.

Mrs Gibbs reminded prospective tenants not to apply for a house that would put them into rental stress - because they probably wouldn't be offered the lease.

"We go off the 30 per cent rule, that rent shouldn't be more than 30 per cent of your household income. It needs to be affordable and sustainable, otherwise you put the landlord in a vulnerable position if you have someone there who is tight," she said.

Mrs Gibbs said applying for a house is like "applying for a job" and applicants should put their "best foot forward".