Sydney rental market’s top five most affordable rents close to the CBD

• The list includes suburbs within 20 kilometres of the Sydney CBD.
• Many locations were in western Sydney.
• Rents here were typically 15% to 27% below the captial city median.

Renting in Sydney continues to be a challenge for many, as rents rise and levels of rental stress follow suit.

Nationally, the Australian rental crisis is set to worsen, with recent reports finding the fight for homes is also being fought with first home buyers.

Finding a rental has been a challenge on several fronts, with the number of available rentals falling yet again. According to recent PropTrack data, the national vacancy rate is back at record lows, at 1.06%, with a similar story also seen in Domain’s latest data.

While the hunt for rentals remains as Sisyphean as the task of home buying, the vice of price is also clamping down hard.

According to PropTrack data, advertised rents rose almost four per cent over the September quarter of 2023, with the median advertised rents leaping almost 15% over the year to September 2023.

There is a glimmer of hope, however, with both Domain’s Nicola Powell and CoreLogic’s Tim Lawless observing some slowing in the pace of Australia’s rental price growth.

Sydney’s top five cheapest median rents

Split across houses and units, CoreLogic data found many locations were spread across Sydney’s west, all the way from Granville down to Punchbowl.

CoreLogic’s Eliza Owen noted that house rents were around 15% below the greater capital city median of $775 per week, and remained within a commutable distance to major centres such as Parramatta, along with being within 20 kilometres of the Sydney CBD, the main criterion.

Cheapest median rents within 20km of Sydney CBD, houses

Source: CoreLogic.

Unit rents typically came in at around 27% below the greater capital city median of $680 per week.

Cheapest median rents within 20km of Sydney CBD, units

Source: CoreLogic.

Owen noted the above-mentioned suburbs were ideal rental locations for students of Western Sydney University campuses in Parramatta, along with young health professionals.

Lakemba was also a standout, as having the closest average proximity to the Sydney CBD out of the top five. It was also noted for being an easy commute to amenities within the inner west, including entertainment, dining, and more.

“From an investor perspective, some of these areas may also be attractive. Each of the unit markets on the list has a gross rent yield of over 5%, and Lakemba units are currently recording a gross rent yield of 6.2%,” said Owen.

Auburn

Choosing a few suburbs at random to dive into, Auburn is well known for being home to the Auburn Botanic Gardens – in particular, the cherry blossoms.

It also has great transport options, with T1 and T2 train lines servicing Auburn station, and nearby Lidcombe station is served by T3, T7, and the Bathurst lines, in addition to T1 and T2.

Weekly rents for 2144, including Auburn

Punchbowl, Wiley Park, Lakemba

These neighbouring suburbs all share the same train line and are cultural melting pots. They are home to some of Australia’s largest religious buildings, from mosques to temples.

Weekly rents for 2195, including Punchbowl and Wiley Park