How many more years of pain for the Perth market?

It will be hit and miss dependent on product and suburb
Where you see oversupply there will be more risk of prices continuing to fall back further

But in saying this Perth market is still price sensitive regardless

 

Just finish the settlement finally, got someone to move in straight away... Its at Vic park close to the vibrant cafe strip and 5 kms from the city with regular bus service so I guess that makes a difference, maybe we were lucky too.

 

I don't think you were lucky. I think you picked the right area. It makes a difference.

 

Do you mind me asking what type of property did you go for? One of the villa’s or a house on its own green title?

Thanks

 

We went for a villa/townhouse style property with a decent land for a reasonable rental return. A free hold with a decent house in this area are very rare with lower % of return and are way out of our budget.

 

couple of charts

 

May I know where you got these charts ? is there a free website where i can get this information for particular suburb ?

 

All Reiwa public data

Median Rent, good to see no further decline for a while.

 

hey @thydzik thanks for nice graphs !
I particularly like the vacancy graph. its a pretty impressive drop! And looks like to continue.

 

The drop in available rentals is pretty much the largest in the country. Barely a clearer sign of returning strength to the market.

There are a few areas i keep an eye on, one of them the R60 lots in Joondalup around the Currambine train station. A year ago (not even) there were multiple properties going in the 420-450 range. now there is nothing available, and the non-development houses in the area start at 450+. Can just about say they people who got in at 420k have seen 10% growth already.

Likewise Scarborough townhouses at the same price point.. they were going for high 300's a year ago and barely any listed now, at a time when the market is meant to be most saturated.

Will keep watching to see if i'm calling it too early..

 

Perth vacancy rate at two-year low - Smart Property Investment

2% drop in the space of 7 months! Better get in quick guys ! $$

 

btw @thydzik, I can't seem to locate either the graph or data. would you care to share or pm me the links ? Thanks

 

Manually created from the Reiwa market snapshot data.

 

wow this graph is interesting

 

While positive, last time it took a really long time before a rental squeeze and rent increases translated into actual price increases.

I think it was like at least 12 months of a sub 2% vacancy rate...

What are we at now - still 5% apparently?

 

Thanks we also purchased a villa in Carlisle recently for the same reason. However it appears there are still some freehold bargains to be had. Have a look at this recent sale.

81 Archer Street, Carlisle, WA 6101 - Property Details

 

Good to see this. A property’s of mine in Heathridge just had a change in tenant. 12 months ago dropped it to $460pw but when I re listed it, due to hardly anything decent available in the area, put it back up to $500pw and had several enquirers to choose from. Vacant for 3 days.

 

Perth Weekly Sales & Rental Market Snapshot|10 April 2018

 

More positive news, rent increase for the first time in 4 years!

Perth house rents on the rise in positive sign for local market: Domain Group report

 

As usual, herd mentality is at play in this poll. When things are bad, people tend to be overly pessimistic and when things are going good, the general population tend to be over optimistic. Their lost for believing the last three options.