Market Rent + 50% Extra: Rental Appraisal Guide (QLD & NSW)

What is a rental appraisal?

A rental appraisal is an estimate of the weekly rent your property could achieve right now. It is based on the property itself (size, features, condition and location) and on what comparable homes nearby are advertised and leased for. Landlords use it to set the rent for a new tenancy, check the rent before a review, and plan cashflow.

Agents and property managers usually provide rental appraisals free. An appraisal is an opinion of market rent, not a promise: the market decides the final figure once the property is advertised. The Valuers Registration Board of Queensland describes it as "a broad estimate" of the rent applicable to a property.

How is rent estimated?

Rent is estimated by comparing your property with similar homes in the same area: what is advertised now, what has recently leased, and how quickly those homes are letting. The appraiser then adjusts for the differences between those homes and yours.

• Recent leases: what comparable homes actually leased for. This is the strongest evidence, because it is what tenants agreed to pay.
• Current listings: similar homes advertised now. They show what your property will compete with.
• Property features: bedrooms, bathrooms, parking, land and living space, condition, air conditioning, and whether pets are allowed.
• Demand: how many similar homes are vacant and how long they take to lease. Fewer vacancies mean more competition between tenants.
• Timing: demand moves through the year, so recent evidence counts for more than old evidence.

You can check the evidence yourself. The Queensland Residential Tenancies Authority publishes median rents by postcode and suburb from new bond lodgements each quarter, and NSW publishes the equivalent in the Rent and Sales Report. Medians mix old and new homes, so treat them as a range, not a figure for your property.

For example, say you own a three-bedroom house. Three similar homes nearby recently leased for $580, $600 and $620 a week. Yours is closest to the middle one, so an appraiser would start at about $600 a week, then adjust: up a little for a new kitchen or a double garage, down a little for a busy road or no air conditioning. Call it $600 a week.

How does PublicSquare achieve 50% extra on top of market rent?

Under PublicSquare's Rent to Sell program, you lease your property to a vetted tenant who wants to buy it, and because they are working toward owning your home, they pay market rent plus a fixed contribution equal to 50% of Year 1 rent, which is credited to their deposit when they buy. The contribution is fixed under a long-term lease for up to 8 years, and the tenant buyer can buy your property in years 4 to 8 at a contracted minimum price, or the independent valuation if higher. On a home appraised at $600 a week, that is $600 rent plus a $300 a week contribution: $900 a week in total, or $15,600 a year more than rent alone.

The contribution is a term of the contract, not a guaranteed return. It is paid to you monthly and is structured as an interest-free loan from the tenant buyer.

The trade-off is real: the contribution is credited to the tenant buyer when they buy, so it does not add to your sale price, and you agree to sell within years 4 to 8 at no less than a contracted minimum price. See Rent-to-Sell vs traditional leasing for the full comparison.

What affects your base rent, and how can you increase it?

Location and property type set the range; condition, features and presentation decide where in that range your property lands. Most of what you can change is in the right-hand column.

Rent is only part of the return. Vacant weeks and turnover come off it, so a tenant who stays can be worth more than a slightly higher asking rent.

What's the difference between a rental appraisal, a valuation and an online rent estimate?

A rental appraisal estimates rent and is usually free. A valuation is a formal, independent assessment by a registered valuer, which is what you need for a financial, legal or statutory decision. An online rent estimate is generated from data without anyone seeing your property.

An online estimate can't see a new kitchen, a busy road or a view. Use it to sense-check an appraisal, not to replace one.

When should you get a rental appraisal?

Get one at least once a year, ahead of any rent review, and whenever something changes. Because rent can rise only once every 12 months in Queensland and NSW, an appraisal before each review helps you set that one increase well without pricing out a good tenant.

• You have just bought an investment property and need to set the first rent.
• A lease is coming up for renewal, or the tenant has given notice.
• You have renovated or added features.
• You want a second opinion on the rent you are getting now.
• You are reviewing cashflow and want to compare traditional letting with Rent-to-Sell.

How do you prepare for a rental appraisal?

Give the appraiser everything that sets your property apart, because they can only price what they know about.

• The basics: address, property type, bedrooms, bathrooms, parking and land size.
• Current tenancy: the current rent, when the lease ends, and when the rent last changed.
• Improvements: anything renovated or added, with rough dates.
• Inclusions: appliances, air conditioning, storage, outdoor areas, and whether pets are allowed.
• Known issues: repairs that are due. Better priced in than discovered later.
• Recent photos: if the property is tenanted, these can save an inspection and respect your tenant's privacy.

Then ask the appraiser which recent leases they relied on, and compare them with your own research.

What is in PublicSquare's free rental appraisal?

You get two figures: the market rent your property could achieve, backed by comparable rentals our team researches, and what the same property would earn under Rent-to-Sell, market rent plus a fixed contribution equal to 50% of year-one rent. We usually come back within two business days, and we tell you whether the property suits the program. Appraisals are available for properties in Queensland and New South Wales.

As explained above, the contribution is a contract term, not a guaranteed return. If you already work with a property manager, the property can stay on their rent roll.

What are the rent rules in Queensland and NSW?

In both states, rent can be increased only once every 12 months, rental ads must state one fixed rent, and landlords and agents must not invite tenants to bid above it. The notice periods and the rules on accepting a higher offer differ.

Some NSW fixed-term agreements of less than two years that started before 13 December 2024 follow older rules until the term ends. In Queensland a tenant can apply to the tribunal if they think an increase is excessive, and the range of market rents for similar homes is one of the things considered, which is another reason to keep your appraisal evidence.

When is an appraisal not enough?

• You need a figure for a lender, court, tax or family-law matter. Get a valuation from a registered valuer.
• The property is unusual, with few true comparables nearby. Expect a wider range and test the market.
• The appraisal is old. Rents move; get a fresh one before a review or a new lease.

Written by

Jarrod Wills

Property Lead

Licensed agent · Former mortgage broker

I was a mortgage broker before joining PublicSquare, so I look at every property and every purchase the way a lender would. I now lead the property side of the program, helping homebuyers from their first info session through to move-in, and working with our buyers agency team on each acquisition for our investors.

Reviewed by

Dean Arnold

Founder & CEO

Licensed real estate agent

I started PublicSquare in 2021 to give homebuyers a real path to ownership without a deposit, and investors a stronger-cashflow alternative to a standard rental. I hold real estate licences in Queensland and New South Wales and personally review every property that enters the program.

Read more about Rent-to-Sell.

This article is general information only and does not take your personal circumstances into account. PublicSquare is a licensed real estate agency, not a financial adviser or credit provider. Consider seeking independent advice before making a decision.