Sydney rents surge past Treasury budget forecasts as prices jump up to $200

Sydney rents have soared since the government introduced federal tax reforms in the budget, with over half of the city’s rents overshooting Treasury projections. Exclusive realestate.com.au figures have revealed rents have shot up by $200 a week in some areas, with the median Sydney rent sitting at $800 per week at the end of last quarter. The Treasury released estimates in May projecting that the negative gearing and capital gains tax reforms would only push rents up by $2 per week. MORE: ‘Worst in Aust’: Sydney tenants’ horror rent hike Over half of Greater Sydney has seen rents grow by more than $2 a week with 35 per cent of all houses now an extra $20 per week. Picture: Liam Kidston Apartment rents climbed by more than $2 a week in about 60 per cent of Greater Sydney’s suburbs over the past three months, the first full quarter of rent measurements since the budget. Rents for houses went up by over $2 a week in 55 per cent of the city, with most seeing rises well above $20 a week. Senior economic analyst for REA Group Megan Lieu said rental availability has dampened price growth but that rents aren’t expected to moderate without a large increase in new supply. “With the new budg...