Property market predictions with Laura Moody

Rising rents, landlords abandoning the rental market, more tenants facing financial hardship, and a growing need for agents to partner with a specialist insurance provider – this is just a snapshot of what is on the horizon for the property market in 2025, according to Melbourne Real Estate’s (MRE) Laura Moody.  

Fresh out of high school, Laura entered the real estate industry in 2009. Since then, she has witnessed the market evolving from sales struggling to prices skyrocketing, from the rental market plummeting during COVID-19 to its recovery once lockdowns ended.  

Laura says 2025 is going to be no different in terms of the ups and downs, with the market continuing to adapt and evolve. 

“It is looking like the demand for rental properties in 2025 is going to become tighter, which will see renters start looking for longer leases and owners achieving higher rental prices,” she says.  

“However, with the cost of owning an investment property rising due to government taxes, mandated compliance checks and the need for properties to meet minimum standards, we may continue to see some landlords leaving the rental market as they cannot keep up with the financial demands of owning one or more investment properties.” 

Laura adds that when interest rates are reduced, this will likely loosen the belt for many owners, but not all as mortgages are only the “tip of the iceberg” when it comes to expenses.  

Speaking of expenses, a recent survey conducted by Masters Builders found more than one-third of Australians have had to forgo essentials like food, medicine, or education to afford their rent, while 39 per cent have struggled to pay their rent in the last year.  

With this in mind, Laura says the increase in cost of living may lead more renters to experience financial hardship, increasing the number of tenancies that may abandon the property or end up at tribunal. 

While there may be some challenges in the future, Laura says there are safeguards property managers and landlords can put in place to ensure they come out on top in the year ahead.  

Laura says the first step to a positive tenancy starts at the beginning when tenants are looking at rental properties. She encourages renters to understand their budget and only look at properties that fall within that budget.  

“As an agent, the next step is to build a strong professional relationship with both your landlord and tenant,” she says. “If clients respect and trust the agent, hopefully most matters can be resolved outside of tribunal.”  

Laura has been an integral part of MRE for the past seven years, advancing from Senior Property Manager to Team Leader, and now serving as Head of Learning and Development. MRE’s property management team is a diverse mix of Team Leaders, Senior Portfolio Managers, and Portfolio Managers who collectively oversee more than 4,000 properties. Laura’s leadership in training and development has been instrumental in strengthening the team, ensuring MRE continues to set high standards in property management while fostering new talent within the industry. 

In addition, Laura delivers the training for new staff at MRE, upskills current staff, manages a team of seniors and juniors to foster a collective training mindset, and manages a portfolio which has seen her handle insurance claims for rental loss, meth contamination, and a house being partially demolished by mistake. 

Laura says landlord insurance is an important safety net when things go wrong at a rental property and an important investment for landlords in 2025.  

She says unexpected events occur that can sometimes derail even the best of tenants. Laura once had to manage a claim that involved an individual who had been living at a rental property for about four years. They were an exemplary tenant, the property was always immaculate and rent was always paid in advance. However, the tenant experienced personal struggles which saw their behaviour at the property change. The tenant stopped paying rent and became a nuisance to neighbours.   

“Once the tenant moved out, we discovered that the property overall was okay,” says Laura. “However, the main bedroom had these strange marks on the walls. Given the neighbours reports of potential drug use, we swabbed the property and found meth contamination which led to an insurance claim. We were also able to claim for rent default and rental loss during repairs. The claim totalled about $132,000. The owner was not out of pocket for this event as they were covered by the right insurance.”  

It’s clear that the year ahead may see changes. But, one thing will remain the same – the value of landlord insurance. A good specialist landlord insurance policy offers cover for all the main risks faced at a rental property including loss of rent, insured events like fire, storm and flood, drug-lab clean-up, pet damage, tenant damage and legal liability. 

EBM RentCover, one of Australia’s leading specialist landlord insurance providers, developed one of Australia’s first landlord insurance policies back in 1991. Since then, EBM RentCover has been working with both landlords and real estate agents to reduce the risks that come with owning and managing rental properties and currently protects about 155,000 properties across Australia.  

Last year, EBM RentCover settled more than 4,835 claims, paying out about $46.5 million. 

To get on the front foot in 2025, align with EBM RentCover. EBM RentCover partners with agencies, like MRE, to deliver landlord insurance solutions to clients. To learn more, click here.