How University Enrolments Are Driving Rental Demand in Sydney

Sydney is home to some of Australia’s largest and most respected universities, attracting students from across the country and around the world. As enrolments continue to grow in 2025, the impact on the rental market is impossible to ignore. International students, interstate arrivals, and local students all compete for housing, often in the same suburbs, creating strong demand and increasing competition for available properties.

For renters, understanding how university enrolments shape the market can help you prepare and position yourself more effectively when applying.

1. Why University Enrolments Matter to the Rental Market

Every semester, tens of thousands of students arrive in Sydney to begin or continue their studies. Many prefer to live near campus or in areas with good public transport connections.

This concentrated demand puts pressure on rentals in suburbs close to universities such as the University of Sydney, UNSW, UTS, and Macquarie University.

For international students, the need for housing is immediate. Many apply before they even land in Australia, which means properties can be taken quickly.

For advice on getting ahead, see Why You Should Start Your Rental Search Before Landing in Australia.

2. The Suburbs Most Affected

Suburbs close to universities, such as Ultimo, Kensington, Camperdown, and Macquarie Park, see the highest demand. In these areas, competition is fierce not only among students but also with professionals who value short commutes to the CBD. As a result, one-bedroom apartments and studios are often the first to be snapped up.

To learn more about choosing the right location, check How to Choose the Right Suburb to Live In as a Student or Newcomer (Sydney Edition).

3. The Impact on Rental Prices

As demand rises at the start of each semester, prices for smaller properties often spike.

Landlords and agents know there will be strong interest, so they set rents higher and expect multiple applications. This creates challenges for students who are managing tight budgets and may not have strong rental histories.

For strategies to improve your application, see How to Get Rental References When You’re New to Australia.

4. Opportunities in Shared Rentals

With high rents in university-adjacent suburbs, many students choose to share larger properties to keep costs down. While this can make renting more affordable, it also comes with challenges such as shared responsibility for bills and potential housemate conflict. Still, for many, shared living is the most realistic way to stay close to campus.

5. International Students and Competition

International students make up a significant proportion of renters in Sydney. Their demand for housing is not only vital for the rental market but also for the city’s economy. While competition can be tough, international students also bring stability to landlords, as they often commit to fixed study terms and longer leases.

6. Planning Ahead Is Key

The biggest mistake students make is waiting until the semester begins to look for housing.

By that time, competition is at its peak. Starting early, preparing documents, and being

flexible with location can make all the difference in securing a rental.

Final Thought on How University Enrolments Are Driving Rental Demand in Sydney

University enrolments are a major driver of Sydney’s rental market, shaping demand, influencing prices, and concentrating competition in key suburbs. For students and newcomers, the key to success is preparation and timing.

Find My Home works with international students and new arrivals across Australia to secure housing before the semester rush begins. With the right guidance, you can avoid the stress of last-minute searches and move straight into a home that suits your needs.