The ACT is the only state or territory where rental affordability has declined, the Real Estate Institute of Australia's housing affordability report found.
Canberrans earning a median family income would need to put 19.2 per cent of their income towards rent payments. This increased by 0.2 per cent in the June quarter.
It came as every other state or territory recorded an improvement in rental affordability and on a national level the report found affordability was at its best level in almost 13 years.
"The ACT market is operating somewhat differently to most of the other states at the moment and that's largely because of the large public sector workforce," REIA president Adrian Kelly said.
Mr Kelly also said the ACT had lower rental stock levels than other capital cities.
"In Sydney and Melbourne, particularly in the apartment market, job losses have resulted in tenants vacating," he said.
"It also doesn't have the large short-term accommodation market either.
"That's why there is larger vacancy rates in Sydney and Melbourne and therefore rents are coming down."
While the ACT did not record an improvement in rental affordability, Canberrans do pay one of the lowest proportions of their income on rent in the country. Western Australia is the only place where they is lower at 16.1 per cent.
But this is based on an average salary in Canberra - one of the highest in the nation.
It came after a report from Anglicare found there was only one rental property in Canberra considered affordable for a person on the doubled JobSeeker rate. Canberra has also been found to be the second least affordable place to rent for low-income earners.
Housing affordability also declined in the ACT as the proportion of income needed to meet home loan repayments increased by 1.1 per cent. Canberrans put 22.3 per cent of their income towards home loans.
While rental and housing affordability declined, home loans increased by 8.9 per cent over the quarter, with 2051 loans handed out in the three months to June. The number of loans was also 13.4 per cent higher, year-on-year.
First-home loans in the ACT increased by by 10.4 per cent over the quarter and were a staggering 65.9 per cent higher than last year.
The ACT and NSW were the only places where home loans had increased.
"This is the lowest number of new loans issued in the past five years for all areas except NSW and the ACT and reflects the reduced activity in the housing market as a result of restrictions associated with COVID," Mr Kelly said.
