A reprieve for Perth as dwelling completions hit 6-year high 

This is a 16 per cent rise on the same period a year earlier and the highest rate of home completions in a financial year since 2017–18 when 18,689 dwellings were built.

This jump in dwelling completions is flowing through to the rental market as we’re seeing more tenants seeking to break their leases so they can move into their newly built homes.

Similarly, our team has also recorded an increase in the number of enquiries from investors needing to lease their newly built investment properties.

This is helping ease the Perth rental market on two fronts.

Firstly, more existing rental stock is becoming available as existing tenants become property owners and move into their long-awaited homes.

Secondly, there’s more new rental stock coming to market as investors get the keys to their new investment properties and put them up for lease.

This trend has seen the Perth rental vacancy rate jump to 1.4 per cent – the first time it’s been above 1 per cent since June 2022, according to data from the Real Estate Institute of Western Australia.

Despite these changes, Perth’s rental market remains tight at 1.4 per cent. The vacancy rate is still well below the ideal range of 2.5 per cent to 3.5 per cent, which is considered a balanced market.

As more stock comes to market, we expect conditions to continue to ease.

For property investors, this means rental prices are likely to continue to stabilise, and in some cases drop.

For renters, the slight rise in vacancy rates offers a glimmer of hope after years of tight conditions and rising rent prices.

With more properties available, there could be more options on the market, potentially leading to more favourable lease terms and price negotiations.

Clare Christiansen is the general manager of Rent Choice.