Perth rental market delivers varied results in June

Perth rental market delivers varied results in June

PERTH’S rental market delivered mixed results in the June quarter, with stable rents, subdued leasing activity, declining listings and faster leasing times.

REIWA data shows the overall median rent price held at $350 per week for the fifth consecutive quarter.

However, 102 suburbs across the metro area recorded growth.

“The five best performing suburbs for rent price growth were Attadale (up 75.8 per cent to $580 per week), Jolimont (up 50.9 per cent to $423 per week), Burswood (up 33.3 per cent to $480 per week), Booragoon (up 28.4 per cent to $475 per week) and Hamersley (up 28.4 per cent to $430 per week),” REIWA president Hayden Groves said.

“Other top performing suburbs were Karawara, North Fremantle, Mount Nasura, Mount Claremont and Hillarys.”

There were 12,633 properties leased as activity declined 10.4 per cent over the quarter and was down 4.1 per cent compared to the June 2017 quarter.

“The latest population figures for WA shows migration into the state has declined by five per cent, which has likely influenced leasing activity levels in Perth,” Mr Groves said.

“Tenants are also not moving as much as they were when prices were declining and there were good deals to be had.”

Despite the overall reduction, 71 suburbs saw leasing activity improvement including Brookdale (up 88.9 per cent), Ocean Reef (up 75 per cent), Kallaroo (up 63.6 per cent), Parmelia (up 48.3 per cent) and Hamersley (up 46.2 per cent).

There were 8293 properties for rent in Perth at the end of the quarter, 2.5 per cent lower than the March quarter and 22.9 per cent lower than the June 2017 quarter.

It took 46 days on average to find a tenant, two days faster than the March quarter and six days faster than the June 2017 quarter.

Mr Groves said the mixed results were not unusual given the market was in a transitional phase.

“Although the worst of the downturn appears to be behind us, it’s not uncommon to see results fluctuate as the market transitions into a recovery,” he said.

“The change in seasons has also contributed to this quarter’s results, with the cooler weather impacting activity levels.

“We tend to see activity slow during the winter months before picking up again in spring.”