Sep 20, 2024, 09:17
by
Defence Housing Australia
Sydney’s rental market is showing signs of slowing[1] making this the perfect time to secure great tenants and lock in a long-term lease.
It’s a decision made even easier by the investment model offered by Defence Housing Australia (DHA).
Not only do property owners get trusted occupants in Defence personnel, with rent guaranteed* by a Government Business Enterprise, they also have the security of a multi-year lease commitment (with regular independent rent reviews) and convenient property care services.
Thousands of service personnel and their families are stationed across central Sydney and more are moving to live in the city centre as Defence operations grow. And like many in the bustling metropolis, finding an attractive home close to work is as appealing for Defence employees and their partners as it is for everyone else.
This rapid growth in demand has increased the range of properties DHA is able to lease on behalf of Defence tenants and opens a world of opportunity for private investors.
Homes leased by DHA need to be within 30 kilometres of a serviced Defence base but, when it comes to Sydney, the closer to the CBD the better. Locations in hot demand range from Mosman to Bondi in the east, to Newtown and Marrickville in the West, and south to Little Bay.
While there is still strong demand for DHA’s preferred offering—attractive three- and four-bedroom family homes with gardens and garaging—there is also growing demand for townhouses, duplexes and apartments with an easy commute to the CBD.
Defence couples without children, and mature-age empty nesters, are opting to forego a backyard in favour of inner city living at its best. Some hop across the harbour by ferry from Manly, others pick up the bus or light rail knowing work is just a short podcast away.
Sydney’s connection with Defence is as iconic as its Harbour Bridge or landmark Opera House. His Majesty’s Ship Australia (HMAS) Kuttabul, on Garden Island, is home port for almost half the Australian Navy fleet. To the south, Army operates from Randwick Barracks, within earshot of the famous racecourse.
The Garden Island base is a major training and support centre for Defence personnel, including those stationed in the northern suburbs at HMAS Waterhen, Penguin and Watson. Navy operations sit comfortably alongside the Georgian mansions of Potts Point and the trendy bars and chic restaurants of Woolloomooloo.
One-, two- and three-bedroom apartments are sought after, with some Defence tenants choosing to top up their rent to secure the best place to live.
Defence families come in all shapes and sizes. If you have an inner-city investment property, contact us today!
Alternatively, if you’re looking to buy an investment property with a long-term lease already in place, visit our website to search properties available in NSW.
To find out more, simply fill out the contact form or call our team on 133 342.
*Rent may be subject to abatement under certain circumstances such as loss of enjoyment or amenity, or breach of lease terms. Rent is paid where the property is habitable. Should a property become uninhabitable during the term of the lease, or lessor breaches the lease terms, the rent may cease or abate and the lease may be terminated by DHA. Guaranteed rent is subject to the terms of the lease. DHA does not take into account an investor's objectives or financial needs. Investors should always seek appropriate independent advice before making any investment decisions with DHA.
[1] https://www.domain.com.au/research/rental-report/june-2024/