Rents inch up

It has released its latest rental report, which shows an average increase of $21 per week for Auckland rental properties.

The average weekly rent for one-bedroom properties rose by 2.6% from $305 to $313.

Two-bedroom properties increased in rent by 4.3% from $374 to $390, three-bedroom homes by 4.2% from $457 to $476, four-bedroom by 2.9% from $582 to $599 and houses with five or more bedrooms by 5.6% from $709 to $749.

Rents in the central city, inner suburbs and eastern suburbs commanded the highest rent. Franklin Manukau was the cheapest rental area for all property sizes.

Barfoot and Thompson said the average gross yield over the past year had decline from 3.79% to 3.58%, based on the average sale price of three bedroom homes compared to the average rent per week of three-bedroom properties. 

Central Auckland had the highest yield, of 6.9%. “The Auckland Central market is made up predominantly of apartments, which typically sell cheaper than free standing homes," the agency said.

Clendon Park was close behind, whith an average gross yeld of 6.3%.

Kumeu had the lowest yield, at 1.89%. “The low yield can be attributed to the fact that 66% of Barfoot and Thompson sales in the Kumeu area over the past six months were lifestyle properties that sold for over $1 million. These types of houses are not your typical rental properties," the report said.