Government Incentives to Convert Properties to Long-Term Rentals

As the housing market continues to evolve, it is essential for property owners to stay informed about opportunities to maximise their investment returns. At D Residential Group, we understand the impact that current market conditions can have on your rental properties. 

In response to these challenges, Consumer Protection has introduced two WA Government incentive schemes designed to encourage property owners to transition their properties into the long-term rental market. These schemes offer financial benefits and support to help you make the most of your investment. Here, we provide an overview of these incentives and how they can benefit you.

Furthermore, our expert Perth property managers, led by Diana Patrascu, are here to guide you through these opportunities, ensuring you maximise your investment returns while navigating the evolving market.

Short-Term Rental Accommodation (STRA) Incentive Scheme

The Short-Term Rental Accommodation (STRA) Incentive Scheme offers a $10,000 financial incentive to property owners who transition their un-hosted short-term rental accommodation properties into long-term rentals. This initiative supports Western Australians seeking rental homes and increases the supply of long-term rental properties.

Eligibility and Payment Details:

• Total Payment: $10,000
• Conditions: Property owners must have offered their properties for short-term rental through platforms like Airbnb between 28 September 2023 and 9 November 2023.
• Lease Agreement: A minimum 12-month residential tenancy agreement is required, with rent charged at or below the maximum rent for the property’s location.

Approved property owners will receive the $10,000 incentive in two stages:

• Stage 1: $4,000 upon approval of the application by Consumer Protection.
• Stage 2: $6,000 after the rental agreement reaches 12 months.

Application Process:

• Application Deadline: 8 November 2024.
• Required Documentation:
  • Proof of the property being used or available for short-term rental during the relevant period (28 September 2023 to 9 November 2023). This may include booking platform agreements, booking confirmation emails, booking calendar extracts, or tax/transaction statements from the booking platform.
  • A copy of the 12-month residential tenancy agreement indicating that the tenancy started after the scheme's announcement on 9 November 2023.

For more information and to apply, visit the Short-Term Rental Accommodation Incentive Scheme.

Vacant Property Rental Incentive Scheme

The Vacant Property Rental Incentive Scheme offers a $5,000 payment to owners of vacant properties who bring these properties onto the long-term rental market. This scheme aims to increase the number of available rental homes in Western Australia.

Eligibility and Payment Details:

• Total Payment: $5,000
• Requirements: Properties must have been vacant for at least six months and meet specific criteria, such as being a self-contained unit.
• Lease Agreement: A minimum 12-month lease is required.
• Re-Leasing Requirement: If the initial lease is broken within the 12-month period, the property must be re-let within six weeks to avoid repayment of the grant.

Application Process:

• Application Deadline: 6 November 2024.
• Required Documentation:
  • Proof that the property has been vacant between 8 November 2023 and 7 May 2024. This can include utility bills showing low or no usage, or a declaration of vacancy.
  • A copy of the residential tenancy agreement indicating a minimum 12-month lease starting after 7 May 2024.
  • A copy of the rates notice for both the owner's primary residence and the applicable rental property. If the owner’s primary residence is a rental, a copy of the residential tenancy agreement can be provided.

For more details and to apply, visit the Vacant Property Rental Incentive Scheme.

These incentive schemes provide property owners with a unique opportunity to contribute to the long-term rental market in Perth, Western Australia while receiving financial benefits. If you’re considering transitioning your property, these schemes could provide the support you need to make the change.

For more information on these schemes or assistance with general property management, contact us at D Residential Group. Choose Perth's premier property management team for all your rental needs. From tenant placement to maintenance, we handle everything to ensure a smooth and stress-free rental experience. 

Trust D Residential Group to manage your property with expertise and care.