Northern Beaches Rental Market 2026: Trends Landlords & Tenants Should Watch

This blog post discusses what the 2026 rental market on the Northern Beaches looks like, and what that means for both property owners and tenants. Getting a handle on these predictions will help you make smart choices, whether you're managing an investment or looking for a new place to live. We're focusing on the Northern Beaches because we know it's directly relevant to what you care about.

Looking Back

At the end of 2025, average rents are holding firm. Houses remain slightly stronger than units, although that gap is narrowing. In suburbs like Dee Why and Freshwater, vacancy rates are particularly low, while Manly continues to experience high competition. Across Sydney, demand remains strong and supply is tight, and we at Greycliffe see every part of this playing out in real time.

Forecast for 2026: What the Experts Are Predicting

Rental Prices

Rents are likely to keep rising in 2026, especially for two to three bedroom units and family homes in popular suburbs. Strong demand and limited new housing stock mean landlords will be able to secure tenants quickly.

Vacancy Rates

Leasing periods are expected to remain short. Limited construction and a continued recovery in migration will keep vacancies low. For landlords, that means quicker leasing and reduced downtime between tenancies.

Interest Rates and Investor Decisions

If interest rates ease in mid 2026, investor activity could increase. For landlords, this may be the right time to adjust rents to keep pace with mortgage costs or to reflect higher demand.

KPMG’s 2026 Surge Prediction

National forecasts support this outlook. KPMG expects a 6 per cent rise in house prices in 2026 and 5.5 per cent growth for units. As they explain, “unit prices are expected to modestly outpace house prices… driven by ongoing affordability constraints, particularly in capital cities”.

What This Means for Landlords

Early 2026 is the time to review your rental pricing to ensure it is competitive and aligned with the market. Consider lease renewals now, with the flexibility to adjust mid year. Focus on property presentation so you can take advantage of strong demand. Small updates like fresh paint or new fixtures can help you attract quality tenants faster. Greycliffe’s advice is simple: stay ahead of the curve to secure better tenants and stronger returns.

What This Means for Tenants

If your lease ends in 2026, start preparing now. Expect a competitive market with shorter time frames to secure a property. Be ready with your application documents, including references and proof of income, and consider writing a short introduction. If you have found a home you love, locking in a longer lease can help you avoid rent increases.

Our Local-Level Insight

From what we are seeing, demand is growing in family-friendly suburbs such as Narraweena and Balgowlah. Rental increases in these areas are moving faster than in others. We are not just watching numbers. We are talking to tenants, owners, tradespeople and landlords every day. That gives us a heads up before most others even know the market is moving.

The year ahead will bring significant changes. For landlords, this is the time to position your property for maximum return. For tenants, planning ahead and preparing your applications will give you the best chance of success. Having the right information now will put you in the strongest position for 2026.

Let’s Talk About Your 2026 Plan

For landlords, you can secure their 2026 strategy by booking a rental appraisal with us today. Tenants can get ahead of market shifts through contacting us for early renewal advice or discover upcoming vacancies, as our experts anticipate market changes and are ready to help them prepare for the year ahead.