Professionals Real Estate
The latest figures from REIWA indicate that the rental market is now becoming tighter for people seeking to find rental accommodation with the rental vacancy rate in Perth falling over the past year to just 2.3% according to David Hobbs, CEO of Professionals Real Estate Group.
“Professionals are now finding that in some areas of the city such as Wanneroo, Rockingham and the South-Eastern suburbs, the rental vacancy rate has now fallen to below 2% due to the rising demand for rental accommodation and shortage of supply.
“Vacancy rates are falling because more people are moving to WA due to the resources boom and many potential first home buyers are deciding to rent rather than buy because of lingering uncertainty about the global economy.
“In addition, the major banks have it made it tougher for Investors to secure finance which has limited the supply of new rental properties. All of these factors are combining to put a significant pressure on Perth’s rental market.
“Anyone on a limited budget should try to find affordable rental accommodation and lock in a long term lease at an agreed price. This will prevent future price rises due to falling vacancy rates and offer landlords long term security.
“There are still a number of affordable areas in Perth where you can rent a home close to good social infrastructure. In the outer Perth suburbs, these areas include Heathridge/ Craigie with a median weekly rent for a house at around $380, Gosnells/Kelmscott ($330), Midland ($330) and Rockingham ($340). These areas have easy access to the Perth CBD through the rail network.
“Closer to the city centre, affordable areas to rent a house include Girrawheen ($325), Balga ($330), Cloverdale ($370) and Belmont ($370).
“To secure even more affordable rental properties, it may be wise to consider renting a unit/flat rather than a house. This will depend on your personal circumstances but large savings can be achieving in weekly rents. For example, in the near city suburb of Victoria Park, the median weekly rent of a house is $450 compared to $340 for a unit.
“When you find an affordable rental area, a good tip is registering your name with local Real Estate Agents you can advise you of when a suitable rental property will become available.
“Professionals are now finding that in some areas of the city such as Wanneroo, Rockingham and the South-Eastern suburbs, the rental vacancy rate has now fallen to below 2% due to the rising demand for rental accommodation and shortage of supply.
“Vacancy rates are falling because more people are moving to WA due to the resources boom and many potential first home buyers are deciding to rent rather than buy because of lingering uncertainty about the global economy.
“In addition, the major banks have it made it tougher for Investors to secure finance which has limited the supply of new rental properties. All of these factors are combining to put a significant pressure on Perth’s rental market.
“Anyone on a limited budget should try to find affordable rental accommodation and lock in a long term lease at an agreed price. This will prevent future price rises due to falling vacancy rates and offer landlords long term security.
“There are still a number of affordable areas in Perth where you can rent a home close to good social infrastructure. In the outer Perth suburbs, these areas include Heathridge/ Craigie with a median weekly rent for a house at around $380, Gosnells/Kelmscott ($330), Midland ($330) and Rockingham ($340). These areas have easy access to the Perth CBD through the rail network.
“Closer to the city centre, affordable areas to rent a house include Girrawheen ($325), Balga ($330), Cloverdale ($370) and Belmont ($370).
“To secure even more affordable rental properties, it may be wise to consider renting a unit/flat rather than a house. This will depend on your personal circumstances but large savings can be achieving in weekly rents. For example, in the near city suburb of Victoria Park, the median weekly rent of a house is $450 compared to $340 for a unit.
“When you find an affordable rental area, a good tip is registering your name with local Real Estate Agents you can advise you of when a suitable rental property will become available.
“It is particularly challenging to find a rental property during this time of year traditionally as many people decided to move accommodation. In the current rental market, anyone who is applying to rent a home should submit the best application they can to ensure they secure the property.
“Overall, you should approach a rental-housing search like you would a job search. You should be organized, serious, professional, and make sure you stand out as the best applicant. This means that you need to make a good impression and demonstrate that you will be a good caretaker for the owner’s property.
“Because rental vacancy rates are now very low and multiple people are applying for rental properties, you may have to offer the landlord a slightly higher rent than publicly advertised to secure the property. Therefore, it is wise to take a flexible approach to rents in the current rental market,” he said.
“Overall, you should approach a rental-housing search like you would a job search. You should be organized, serious, professional, and make sure you stand out as the best applicant. This means that you need to make a good impression and demonstrate that you will be a good caretaker for the owner’s property.
“Because rental vacancy rates are now very low and multiple people are applying for rental properties, you may have to offer the landlord a slightly higher rent than publicly advertised to secure the property. Therefore, it is wise to take a flexible approach to rents in the current rental market,” he said.
