Perth’s Vacancy Rate: Change is on the Horizon

Perth’s rental market is undergoing a significant shift, with the vacancy rate climbing to 1.4%—the first time it has surpassed 1% in over two years. This signals a changing landscape that offers both challenges and opportunities for tenants and landlords alike. 

Recent data from REIWA reveals that this 0.7% rise from last month marks the highest vacancy rate since June 2022. As more rental properties become available, tenants will have more choices, while landlords may need to adapt their strategies to stay competitive. 

At D Residential Group, we’re ready to guide both landlords and tenants through these changes with expert advice and tailored property management solutions.

Why Is the Vacancy Rate Rising?

This increase can largely be attributed to a surge of newly completed properties. Tenants are leaving their current rentals to move into their newly built homes, and investors are introducing fresh listings to the market. This influx is helping to free up existing rentals while boosting the total supply of available properties.

For renters, this means more options. However, landlords may find themselves needing to rethink their approach to remain attractive in a more crowded market.

Opportunities in a Tight Market

Even though the vacancy rate has increased to 1.4%, Perth’s rental market remains tight. A balanced market generally has a vacancy rate between 2.5% and 3.5%, so demand for rentals is still strong. This is an opportunity for landlords to reassess their strategies, including pricing and marketing, to align with these new conditions.

Key Considerations for Landlords

With competition growing, landlords must stay ahead of market shifts. The increasing number of available properties and stabilising rent prices may mean adjusting expectations for how quickly a property is leased and reconsidering pricing strategies.

At D Residential Group, we help Perth landlords navigate these changes with tailored property management services. Our expertise ensures that properties are marketed effectively, priced competitively, and leased to quality tenants promptly. We take a personalised approach to help landlords thrive, even in changing market conditions.

Better News for Renters

For tenants, the slight rise in vacancy rates provides some much-needed relief after several years of tight rental supply and rising costs. Renters now have a little more flexibility when negotiating terms or finding properties that suit their needs.

D Residential Group is here to help renters find their ideal home, even in a competitive market. Our deep understanding of Perth’s rental trends allows us to match tenants with the best properties while helping landlords attract top-notch tenants.

What to Expect in the Coming Months

REIWA forecasts that vacancy rates will continue to ease throughout 2024, though the market is expected to remain tight for a while longer. At 1.4%, we’re still far from a fully balanced market, but these gradual changes suggest a slow but steady shift. Both landlords and tenants should prepare for continued adjustments as more rental properties come onto the market.

D Residential Group: Making a Difference for Perth Landlords

At D Residential Group, we provide more than just property management. We offer customised strategies to help landlords succeed in a fluctuating market. Whether it’s setting the right rental price, securing quality tenants, or managing your property efficiently, we take care of everything to ensure a smooth and profitable experience.

Our strong understanding of the Perth rental market combined with our bespoke property management services positions us as the go-to team for landlords seeking an edge. We keep our clients informed, proactive, and profitable, ensuring they stay ahead in a dynamic market.

Get in Touch with D Residential Group Today

If you’re a landlord looking to navigate the shifting Perth market or a renter seeking your next home, D Residential Group is here to help. 

Contact us today to see how we can make a difference in managing your property or finding you the perfect rental.