Realmark Urban Associate Director and Business Development Manager Emma Thorpe said Perth was one of the most affordable capitals in Australia, with its median price of $553,000 second only to Darwin.
“Property investors should not overlook the affordable property prices and healthy yields of around 4.51 per cent on offer in Western Australia,” she said. “CoreLogic data shows the vacancy rate for Perth houses and units dipped to 0.5 per cent and 0.8 per cent respectively in September.
“Also, WA has just recorded its lowest rental stock levels in 12 years and we don’t expect this to rise anytime soon.
“On the plus side, the stock shortage means there is usually a quick turnaround for leasing rentals and, as a result, we are noticing median rental values increase to around $533 a week.”
Ms Thorpe said rental supply was struggling to keep up with Perth’s growing population, with more students and workers set to head west.
“With recent changes to the graduate occupation list and added funding to the migration program, we anticipate a further influx of people moving to Perth to work and live,” she said. “The State Government has also set aside a massive $41.2 million to support international education to attract international students to WA.
“Further to this, strong employment growth is anticipated for WA, with expanding industries including agriculture, transport and logistics, retail and manufacturing, construction, tourism and health. “These new opportunities will attract thousands of workers and students and, as a result, boost demand for rental housing, which is why it’s a great time to invest in WA property.”
According to Suburbanite Principal and Property Advisor Anna Porter, who is based in New South Wales, Perth is greater than a resources and mining hub, it is a strong and diversified economy ticking all the boxes for an investment hot spot.
However, she said a ripe investment market went beyond the numbers and needed to account for liveability, infrastructure and employment.
Perth’s economy was resilient and the strongest in Australia during the COVID-19 pandemic.
“The Perth job market has always been fluid and we expect more interstate and international migrants to take advantage of the lifestyle benefits it offers,” Ms Porter said.
“The state overall benefits from a huge infrastructure pipeline, including the $1.7 billion Perth City Deal and $37.4 billion commitment to mining, oil and gas infrastructure projects.
“We also expect the market to head into a construction boom given the huge infrastructure pipeline.”
Preparing for the future, council controls in Perth were also changing to make way for more dense housing and living.
“We’re targeting properties with denser zonings to ensure our clients have a lucrative future development opportunity or can increase the bang for their buck immediately,” Ms Porter said.
Written by Andrea Lau and The West Australian