Data provided by PropTrack indicates that Sydney's vacancy rate has dropped from 1.19% last year to the current 1.11%. This data reflects the supply-demand imbalance in the rental housing market, particularly in Sydney and Melbourne, the two hotspots for immigration, where the available rental properties have sharply decreased over the past 12 months.

Louis Christopher, the Managing Director of SQM Research, stated that the influx of a large number of overseas immigrants has led to a tightening of the rental market. He pointed out that based on the current net overseas migration numbers, the Australian population is growing at a rate of approximately 650,000 people per year, creating significant pressure on the rental market nationwide.

In addition to Sydney, the rental housing market in the New South Wales region is also facing a tight supply situation. The number of available rental properties has decreased by nearly 40% compared to pre-pandemic levels. Mr. Christopher suggested that this indicates that some people may be starting to look outside the capital cities for more affordable housing options.

Anne Flaherty, an economist at PropTrack, believes that the situation for renters across the country may further deteriorate. She stated that the national residential vacancy rate has been declining for over three years, and this trend is likely to continue against the backdrop of economic downturn. With robust population growth and a lack of new housing supply, the rental market will face even greater pressure.

The tense situation in Sydney's rental housing market has garnered attention from various parties. Government and relevant institutions need to take measures to alleviate the rental crisis, provide more available rental properties, and formulate policies to promote the balanced development of the housing market. Additionally, expediting the construction of new housing and increasing affordable housing projects are crucial steps in improving the rental housing market conditions.