April 2025 Property Management Recap: Rent, Vacancies & Reforms

May 4, 2025

April’s rental market in Australia stayed extremely tight. Rents continued to inch up (CoreLogic reports national rents +0.6% in April) and vacancies remained near historic lows (around 1.6% nationally). Major cities like Adelaide, Hobart and Perth saw essentially negligible vacant listings (∼0.4%). At the same time, governments rolled out sweeping tenancy reforms (e.g. new NSW and QLD laws in mid‐May) and property managers are increasingly adopting digital tools and automation. This April recap reviews these rent and vacancy trends, legislative changes, proptech adoption, tenant expectations and maintenance challenges – and ends with key trends to watch and actionable advice heading into May 2025.

Rent Price Trends

National rents have continued to rise modestly. According to CoreLogic’s April update, national advertised rents were about +0.6% higher than March. Over the March 2025 quarter, PropTrack (REA Group) data show rents up +1.6% quarter-on-quarter (about +5.0% year-on-year). However, growth is slowing. CoreLogic notes the 12-month rise of ~3.8% is now less than half the ~8.3% peak seen a year earlier. Domain’s Q1 report confirms this cooling: median house rents hit new highs in all capitals, but most cities are seeing sub-5% annual growth – the slowest rate in several years.

City-by-city, rental gains have been uneven. Brisbane and Adelaide saw the strongest year-on-year growth (+8.3% and +8.2% respectively), while Sydney and Canberra were the weakest (+3–4% YOY). Sydney remains the most expensive market (median ~$775pw), with Perth and Adelaide roughly $70–90 less . Melbourne is now a relative bargain (around $580pw for houses) and has the smallest gap between house and unit rents. In short, rents are still rising in most markets, but the pace of increase has eased from 2023 levels.

Vacancy Rates

Vacancy rates remain at historically low levels. CoreLogic reports the national rental vacancy tightened to about 1.6% in March (from 2.0% in Dec). SQM Research’s listings-based measure similarly fell to ~1.1% in March (down from 1.3% in Feb). All major capitals have sub-2% vacancies; Adelaide, Hobart and Perth are around 0.4–0.6% – effectively “zero” from a tenant’s perspective. Melbourne and Sydney were ~1.3–1.5%. Domain notes that March vacancies were the highest for that month in years, largely due to a slight seasonal lift in listings, but still far below long-term averages.

With vacancies this tight, competition remains high. Even a small increase in available units can change the balance. Managers should monitor local listing platforms: a sudden influx of new properties (e.g. after holidays or new developments) could alleviate pressure. For now, landlords generally hold the upper hand, especially in cities with single-digit vacancies.

Rental Law and Compliance Updates

Several jurisdictions introduced major tenancy reforms around April/May 2025. Notably:

NSW (from 19 May 2025): New laws ban “no grounds” evictions – landlords must give a valid reason to terminate a tenancy. Rent increases will be limited to once per 12 months for all lease types, and upfront application fees (including credit checks or tenancy paperwork) are prohibited. It will also be easier for tenants to keep pets by default, with landlords only allowed to refuse under strict conditions. These changes significantly shift power toward renters and require PMs to update lease templates and processes.
Queensland (from 1 May 2025): A standardised tenancy application form becomes mandatory. (Landlords and agents must use the approved form for rental applications.) Queensland’s ongoing reforms (from earlier Acts) also include minimum housing standards and tighter privacy rules for tenant data, which PMs should already be complying with.
Victoria (from Nov 2025): The Andrews Government passed new tenant-friendly reforms in March 2025. These include banning all forms of rental bidding, lengthening notice periods for rent rises or evictions to 90 days (from 60), and eliminating no-fault evictions. New standard application forms and a ban on application/payment gateway fees (e.g. “Paypal-style” rent service fees) are also introduced. Agents and PMs will need to register for more training and adhere to stricter conduct requirements under these laws.
South Australia & Western Australia (mid-2024 changes): Although enacted in 2024, the SA and WA reforms are now in force and affect portfolio management. SA requires prescribed grounds to evict, extends notice periods (e.g. 28→60 days for ending fixed leases), allows pets by default, and mandates minimum standards in rentals. WA’s July 2024 reforms also capped rent rises to once yearly and broadly allowed pets and minor modifications. Both states banned rent bidding earlier. Property managers should ensure leases and policies reflect these rules (e.g. no hidden fees, updated notice periods) and keep an eye on any further changes promised by national housing agendas.

PropTech and Automation Adoption

Property managers are increasingly turning to technology to streamline operations and meet client expectations. Cloud-based PM software (e.g. Holistc™, Console Cloud, PropertyMe, MRI, etc.) is now widely adopted to centralise listings, accounting, lease admin and reporting. These platforms often include tenant/owner portals and e-signature integration, so tenants can apply, sign leases and pay rent online without manual paperwork. For example, Console Cloud reports agencies are already using its analytics dashboards for real-time portfolio insights.

Other tech trends in use:

Mobile inspection & maintenance apps: Inspectors use tablet/smartphone tools to record property condition (photos/checklists) instantly into the system, speeding up turnaround between tenancies. Maintenance requests can be logged by tenants via apps or web portals at any time, with automated alerts to managers and trades.
Automated communications: Routine notifications (rent reminders, inspection schedules, lease renewals) are often automated via SMS/email, reducing admin load. Some offices use chatbots or 24/7 kiosks for basic tenant inquiries.
Data analytics & AI: Forward-looking PMs are leveraging data dashboards to track occupancy rates, arrears, maintenance backlogs and investor returns. In the next year, AI-driven tools are on the horizon – for example, dashboards that might flag under- or over-charging, recommend upgrades to improve yields, or predict tenant churn. As one expert puts it, automation and proptech won’t replace humans but enhance them, giving managers more time for strategic work.

Overall, digital adoption is seen as essential for competitiveness. Embedding new tech into existing workflows (CRM, accounting, communications) and training staff on it are key success factors. Landlords and PM firms should consider evaluating or upgrading their software tools – some providers (including the Holistc™ platform) now market integrated solutions for reporting, inspection scheduling and tenant portals.

Tenant Behaviors & Expectations

Today’s renters are more demanding in terms of service and flexibility. Digital convenience is king: surveys show a strong tenant preference for self-service tools and real-time updates. For maintenance and communications, tenants expect 24/7 reporting portals and prompt, transparent responses. (Indeed, property experts warn that tenants quickly turn negative if repairs drag on or comms are poor.) In practice, this means implementing online maintenance tickets and updating tenants on schedules and fixes.

Affordability pressures are also shaping tenant habits. CoreLogic notes that worsening affordability has pushed many renters into larger or shared households, or delayed moving out on their own. By April 2025, national rents had climbed ~38% since 2020, prompting families and friends to “double up” to afford rent. While this suppresses overall rental demand, it also means some tenants stay in units longer (reducing turnover) or seek larger 2–3 bedroom spaces. PMs should watch for such demographic shifts: for example, more multi-generational or shared leases.

On lease terms, there is growing interest (especially among younger or mobile workers) in flexible tenancies. Shorter fixed-term or break-clause leases, furnished options or inclusive utilities can be selling points in a tight market. Managers may choose to pilot such offerings to attract or retain tenants. Tenant surveys in some areas also highlight energy efficiency and high-speed internet as “table stakes” for modern rentals. While not yet mandatory, aligning listings with these preferences can justify rent premiums.

Maintenance Backlogs and Portfolio Issues

Maintenance remains a critical challenge affecting portfolio performance. Many Australian properties are aging, and trades shortages are exacerbating delays. For example, a January 2025 review of the SA Housing Trust found that limited availability of tradespeople is creating a backlog of overdue repairs, and that vacant properties were not being made ready quickly enough. Though that report was for public housing, the symptoms are similar in private portfolios: high demand for roof replacements, plumbing upgrades and compliance works is met with a tight labour market.

Delayed maintenance can have real consequences: empty properties stay vacant longer, tenant satisfaction falls, and urgent fixes often cost more when postponed. Input costs (materials, fuel) remain elevated, squeezing margins on repairs. To manage this, PMs should proactively audit their portfolios for ageing components (e.g. electrical safety checks, hot water systems) and budget for cyclical maintenance. Using a maintenance management tool (many PM systems have this built-in) helps track work orders and vendor performance. Building strong vendor partnerships (with fair rates) can also mitigate the market shortage. Finally, clear tenant communication about ongoing repairs (via apps or SMS updates) is essential to maintain trust during delays.

Trends to Watch in May 2025

Interest rates & policy shifts: The federal election (scheduled 4 May) and RBA meeting (20 May) will set the tone. Markets are pricing in an RBA rate cut by May 2025. Lower rates could stimulate buyer and investor demand (potentially easing rental supply as some investors sell). Watch how election outcomes influence housing policy – any new federal or state initiatives (tax changes, housing supply plans) can affect landlord strategies.
Seasonal supply: Historically, late autumn (Apr–May) often brings a rise in new rental listings. If this seasonal uptick occurs, vacancy rates may edge up slightly after a low point. PMs should monitor local listing volumes in early May – a sudden surge of properties (e.g. students leaving or households downsizing) could shift rent-bargaining power. Conversely, if listings remain scarce, rent growth may hold firm.
Tech and staffing: The industry’s tech transformation will accelerate. In May 2025 we expect more PM teams adopting features like AI-driven pricing tools and predictive maintenance analytics. Similarly, ongoing tightness in property admin staffing (post-COVID turnover) will continue to encourage automation. Offices that invest in training staff on new systems now will gain efficiency advantages as the year progresses.

Key Takeaways for PMs and Landlords

Adjust rent pricing strategy. Use the latest data when setting rents. With growth slowing, be cautious about large increases on renewals – consider market signals (e.g. vacancy changes by suburb) before raising rent. In ultra-tight markets (e.g. 1% vacancy), modest bumps may be sustainable; where vacancy is drifting up, factor that in. Keep communications professional: back any increase with data (CoreLogic/Domain indices or comps).
Update lease processes for new laws. Revise leases and disclosures to comply with state reforms: remove banned fees, include correct notice periods, and ensure application forms match the new standard templates. Automate renewal workflows in your PMS so you don’t miss the once-yearly rent increase window or notice deadlines.
Embrace automation for communications. Implement or expand digital portals for tenants and owners. Automate rent reminders, inspection notices and maintenance updates via SMS/email. This improves tenant satisfaction and frees staff time. For example, integrate e-signature (DocuSign or similar) for leases – speed up turnaround and compliance with digital records. (Holistc™ and other platforms offer such features out of the box.)
Plan maintenance proactively. Allocate funds for pending major works (e.g. roof, hot water) and use multi-year scheduling. Where possible, sign bulk or retainer contracts with preferred trades to ensure priority. Track all work orders in your system and use tenant feedback to flag recurring issues. Consider energy-efficient upgrades as well – they appeal to tenants and may qualify for incentives (or renter-bill savings).
Prepare for EOFY. With June 30 looming, ensure accounting records are tidy now. Reconcile trust ledgers and finalise any vendor invoices before year-end. Notify landlords about capital works depreciation opportunities (especially if you managed any renovations). Automating rent rolls and billing with your software will make EOFY statements smoother. Also, remind landlords about any state-specific property tax deadlines (e.g. VIC’s landsize changes).
Enhance tenant experience. Survey current tenants for feedback on your services (digital tools, maintenance, communication). Use that input to improve. Remember that small perks (like a professional move-in kit, a welcome eBook, or prompt handyperson visits) can boost renewals. In marketing vacant properties, highlight features that matter to today’s renters (such as broadband quality, pet-friendliness or proximity to amenities).

By staying on top of these trends and acting on the takeaways above, property managers and landlords can better navigate the continuing rental crunch. Automation, good data and clear processes will be key to balancing landlords’ income goals with tenants’ rising expectations in the months ahead.

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