Expert predicts easing in rental conditions in the Illawarra in 2024

The 27-year-old is currently living with friends in Wollongong, which he considers a temporary measure while he searches for a room to rent, after a "really bad year of trying to find places to live".

"It's been really tough to find somewhere," he said.

This follows the news, courtesy of CoreLogic's national Home Value Index (HVI), that after a sustained period of growth, Illawarra housing values stalled, and in some cases even took a slight dip at the end of 2023.

Meanwhile, one expert believed there could be positive signs on the horizon for Illawarra renters in terms of the slowing of price increases after the COVID-influenced property boom.

However, many will likely need to embrace sharehousing in the current market.

Eliza Owen, head of research Australia for CoreLogic told the Mercury they could see some easing in rental conditions in 2024, "with annual growth in rent values across the Illawarra sitting at just 1.4 per cent, which is much more in line with the pre-COVID trend".

"More sharehousing, and a normalisation in overseas migration flows will help to take some pressure off growth in rents throughout the year," she said.

"We were expecting more of a demand-driven shift to come through the regional markets as people migrated to more affordable areas, and started re-grouping in sharehouses."

Mr Silva, who works works multiple jobs while studying, moved between rentals in Fairy Meadow, Towradgi and Wollongong during 2023.

His experiences included having to vacate sharehouses, and encountering rent increases along the way.

In recent times, he's been regularly searching real estate listings, Flatmates, Gumtree and social media for suitable sharehouse accommodation.

He said it would be a welcome relief if rent prices were to stabilise or at least grow at a slower pace in 2024.

"Most of the places are really expensive and not worth the price, or some people just wouldn't reply to messages," he said of his search.

"It's very hard to find a place. I'm looking for a sharehouse because I can't afford a house or apartment by myself."

Mr Silva said in the current Illawarra rental market, more young people may have to seriously consider sharehousing as an option.

"It's just a room I'm looking for, but it's pretty hard to find," he said.

"I'm not asking for much - just a decent sized room, without being too cramped. I'd be prepared to pay $230, $240; $250 a week would be highest I'd be willing to go."

Lisa Walker, department head of residential management services at MMJ Wollongong said she agreed that "we are expecting to see some easing in rental conditions in 2024... As we are noticing properties are taking slightly longer to lease and advertised prices are being reduced".

"I have noticed the supply has increased in the past few months; with vacancy rates increasing this in turn is resulting in advertised properties being reduced (in price)," she said.

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