There has been a surge in demand for rental properties in Perth, resulting in higher rental rates for houses and apartments and a fall in the vacancy rate.
The increased demand outstripped a six per cent rise in the supply of rental properties, as properties were withdrawn from sale and placed into the rental market.
Despite the additional stock flowing into the rental market, the strength of demand has seen properties available for lease fall by 20 per cent, from 3,600 at the end of June to 2,800 at the end of September, according to reiwa.com.
REIWA President David Airey said the data showed that many people were choosing to rent rather than buy.
“The falling stock has seen the preliminary vacancy rate drop by 0.6 of a percent from 3.4 per cent in the June quarter to 2.8 per cent in the September quarter.
“Accompanying this tightening of the vacancy rate has been a $15 per week, or 4 per cent, lift in the overall median rent for Perth during the September quarter,” Mr Airey said.
Mr Airey said this was the first mid-year rent rise since 2008 and takes the annual increase to 6.8 per cent.
“Both the overall median house and multi-residential rents increased by $10 per week for the quarter taking the median house rent to $400 per week and the median unit rent to $380 per week,” Mr Airey said.
“Surprisingly however, the rent increase was not uniform across the metropolitan area.”
The areas showing strongest growth were the City of Melville, which recorded an 8 per cent overall increase to $435 per week due to strong multi-residential leases.
Other markets on the rise included the City of Cockburn (up 5 per cent to $400) and City of Vincent (up 5 per cent to $405).
However there was no increase in the overall rent in Cities of Swan, Rockingham-Kwinana, Belmont, Canning or the southern areas of City of Joondalup.
