Perth Rents Stabilise as Top End of the Market Eases

Perth’s median rental prices have remained stable for the second consecutive month, however this is being driven by an easing in conditions at the top end of the market, rather than a broader trend, according to industry experts.

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According to the latest data released by REIWA, the median weekly rent for both dwellings and houses in Perth held steady at $650 in May, while the median rent for units remained at $600.  

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REIWA chief executive officer Cath Hart said affordability was a key driver of the market and tenants had been responding to the price rises of the past few years by renting smaller, more affordable properties. 

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“Members are reporting properties in higher price brackets taking slightly longer to lease, with fewer offers of higher rent and, in some cases, discounting,” she said.

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“While there has been a noticeable change in parts of the market, it isn’t across the board - for example, there is still a lot of competition for the more affordable homes,” she said.

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Rent Choice General Manager Clare Christiansen said this was a trend witnessed first hand by her team.

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“It is certainly a two-speed market in Perth right now. The top end of the market is somewhat easing as we’re not seeing as many applications compared to last year, which means it’s taking slightly longer to lease this type of stock,” Clare said.

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“However, at the more affordable price point we are still recording high volumes of people viewing properties and multiple applications, meaning this type of stock is still being leased very quickly.”

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According to REIWA there were 2,409 properties available for rent at the end of May, which is 11.3 per cent higher than April and 20.5 per cent higher than the same time last year.

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Over the past year, the median unit rent grew 20 per cent while the median dwelling rent rose 18.2 per cent.

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“We will keep watching to see if the current moderation in the rental market is a longer-term, more widespread trend,” Cath said.

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Whether you’re a landlord or tenant, we're here to help you. Contact Rent Choice today at hello@rentchoice.com.au or 08 6365 5665 to make smarter, more informed decisions in the rental market.

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Source:

Signs rental market is easing as Perth rents remain stable. (n.d.). REIWA Public Website. https://reiwa.com.au/news/signs-rental-market-is-easing-as-perth-rents-remain-stable/

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