Domain's Rental Vacancy Report for August shows the national vacancy rate is holding steady at 0.9%, the lowest point on record.
The results coincide with a strengthening rental market over the past year, along with record-breaking rents across the country.
The report claimed the rental market remains a landlords' one, with tenants expected to face worsening rental competition and even further increases in asking rents.
Sydney, Melbourne and Perth recorded a decline in vacancy rates, while Brisbane, Hobart and Darwin remained steady.
Canberra and Adelaide bucked the national trend, as the only cities to see an increase over August.
Rental conditions are expected to stabilise, with the broader slowdown in the housing market and cooler purchasing conditions.
The introduction of new first-home buyer incentives that are designed to help current tenants transition to home ownership, are also likely to ease the rental demand.
Penny Carr, CEO of Tenants Queensland, said the solutions to reducing the rental crisis require all levels of government to work together.
"Tenancy law reform is also an important part of making a stable and secure rental market," Ms Carr told Savings.com.au.
"We need more social housing, better regulation of the short term rental market and it would be beneficial to have a register of landlords."
"That way we know how many properties people are investing in, where those landlords live, and who benefits when we change tenancy laws that's in greater support of owners of properties, as opposed to the people who live in those properties."
Image by Pat Whelen via Unsplash.
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