I haven't held property during the dry times of the GFC, but its good to see for all the long time investors this growth and positivity starting to show in the Perth property market. i'm bored to hear of all this economic gloom and its great to see things turning around
Perth property listings - under 9,000
- Thread starter Ausprop
- Start date
I haven't held property during the dry times of the GFC, but its good to see for all the long time investors this growth and positivity starting to show in the Perth property market. i'm bored to hear of all this economic gloom and its great to see things turning around
Lol upswing? There was never a downturn - I don't care what anyone says.
Yes, I agree, but I am a little more conservative, I think perhaps it has another 18 months to run, but I hope you are right
Development sites in popular areas such as Innaloo, Yokine, Dianella etc. have gone nuts, as you said perhaps developers are hoping that the market will continue to rise.
I ended up having to bail out of these as I just could not compete.
Really???
An overview on a couple of States in Oz
Have you been to the Gold Coast lately, they are still licking their wounds, it is only now that the market has bottomed out. Properties in this market fell as much as 40%, that's real pain.
Perth crashed in late 2006, it has only now started to recover (approx 12 months ago). Properties in certain areas fell back anywhere from 20-40%. All my properties in Perth fell back at least 20% including my PPOR.
Melb - the market rose in 2008 for 18 months and then it crashed, I know this because I jumped in and sold out when it crashed. All the properties I purchased fell back to original prices. I sold a DA 8 unit site, the builder was not able to sell them because the market tanked.
Melbourne is now starting to recover from what I have been told from those on the ground.
Still learning
Prices are rising and some say this will continue 18mths - 2 years - so is that like 10% pa growth prediction?
What happens after that?
Prices flatline? or do prices go down? some have talked about buying homes at 2004 prices.
If buying now are you buying at the Peak?
Is it a good time to sell and not a good time to buy?
What are the risks with buying in Perth now - as an investor?
Prices are rising and some say this will continue 18mths - 2 years - so is that like 10% pa growth prediction?
What happens after that?
Prices flatline? or do prices go down? some have talked about buying homes at 2004 prices.
If buying now are you buying at the Peak?
Is it a good time to sell and not a good time to buy?
What are the risks with buying in Perth now - as an investor?
6-12 months ago would have been better, but still a good time as market is still rising, problem is there is lots of competition, I see you are from Melb so that may be a challenge. Perhaps looks at using a BA.
No one can predict how long this will last, but confidence is back in the market, low IR etc etc I think the Perth market will continue to be strong.
Place in the same complex as my IP sold within 2 weeks of being listed, 20 couples through the first home open. Seller got the high end of what they were asking for.
Great barometer as thinking of selling while market is hot.
Might just stick a sign out the main road there if people are so desperate. No need to pay an agent?
Great barometer as thinking of selling while market is hot.
Might just stick a sign out the main road there if people are so desperate. No need to pay an agent?
Perth and Sydney probably have another 18 months to run. I'm not sure if 7 years is correct - too hard to predict at this stage, maybe intermittently.
I think after that the next one to take off in 6-12 months is Brisbane.
Melbourne is 6-18 months away from the same momentum.
I think after that the next one to take off in 6-12 months is Brisbane.
Melbourne is 6-18 months away from the same momentum.
Well my rental in Westminster had tenants move out on Friday and new tenants moving in today. I'm pretty happy with no vacancy
We got $480 pw - my new tenants are a couple with a King Charles Cavalier.
In my little pet friendly triplex we have 2 with cats, and one with a dog.
We got $480 pw - my new tenants are a couple with a King Charles Cavalier.
In my little pet friendly triplex we have 2 with cats, and one with a dog.
http://www.international.to/index.php?option=com_content&view=article&id=8109erth-vacancy-rate-eases-rents-holding-up-as-tenants-seek-cheaper-homes-&catid=207:western-australia&Itemid=384
Perth rents high despite vacancy rate easing
15 April 2013
Perth’s overall median rent increased to $470 per week during the March quarter, a rise of 4.4 per cent for the period and up by almost 12 per cent on the same time last year.
This breaks down to a median rent for a house of $480 and $450 per week for a unit.
The lift in asking rents during the March quarter was largely due to increases for flats, units, apartments and villas.
President of the Real Estate Institute of Western Australia, Mr David Airey, said the latest increase was surprising given that the number of properties available for lease increased by more that 50 per cent in the six months leading up to March.
“Equally surprising was the rise in properties for lease through the March quarter itself because this is traditionally a period of high demand that usually causes a seasonal dip in the vacancy rate,” Mr Airey said.
REIWA analysis suggests that while there was some modest increase in demand for rentals during the March quarter it was offset by properties being freed-up by first home buyers leaving the rental system for a home of their own.
“The inner-city zone within about 10kms of the CBD remains the dominant rental market as it includes about 85 per cent of all multi-residential property in the metropolitan area, of which half is rental property. This central sub-region saw a rise of $30 to a weekly median of $500.
“While the outer regions experienced stronger demand for leases during the quarter, up by 19 per cent on December, it was the 9 per cent increase in leases in the inner city areas that were responsible for the overall uplift in metropolitan median rent. This was due specifically to the large rise in leases for strata dwellings following a dip in that sector during December.
“The rental market is showing us that there is a flight to outer suburbs by many tenants looking for more affordable accommodation. This explains why in the south-east corridor through Gosnells there was a 27 per cent increase in demand during the quarter and that region’s median lifted by 6 per cent to $420 per week.
“The jump in the overall median for the central region and inner city area was largely driven by the western suburbs, City of Perth, Fremantle, Bayswater, Bassendean and south- east parts of the City of Stirling such as Tuart Hill, Yokine, Mount Lawley and Dianella,” Mr Airey said.
Mr Airey cautioned against reading too much into the rent increase illustrated in several sub-markets, saying much was caused by the types of homes being leased during this period and which may have skewed the March data.
“We need to consider the rental data in context and the fact is the vacancy rate has eased off, lifting from 1.9 in December to around 2.3 per cent for the March quarter.
“With the long-term equilibrium in Perth being a vacancy rate of 3 per cent, it seems things are trending towards normal despite some pockets of greater demand where competition is nudging up prices,” Mr Airey said.
erth-vacancy-rate-eases-rents-holding-up-as-tenants-seek-cheaper-homes-&catid=207:western-australia&Itemid=384Perth rents high despite vacancy rate easing
15 April 2013
Perth’s overall median rent increased to $470 per week during the March quarter, a rise of 4.4 per cent for the period and up by almost 12 per cent on the same time last year.
This breaks down to a median rent for a house of $480 and $450 per week for a unit.
The lift in asking rents during the March quarter was largely due to increases for flats, units, apartments and villas.
President of the Real Estate Institute of Western Australia, Mr David Airey, said the latest increase was surprising given that the number of properties available for lease increased by more that 50 per cent in the six months leading up to March.
“Equally surprising was the rise in properties for lease through the March quarter itself because this is traditionally a period of high demand that usually causes a seasonal dip in the vacancy rate,” Mr Airey said.
REIWA analysis suggests that while there was some modest increase in demand for rentals during the March quarter it was offset by properties being freed-up by first home buyers leaving the rental system for a home of their own.
“The inner-city zone within about 10kms of the CBD remains the dominant rental market as it includes about 85 per cent of all multi-residential property in the metropolitan area, of which half is rental property. This central sub-region saw a rise of $30 to a weekly median of $500.
“While the outer regions experienced stronger demand for leases during the quarter, up by 19 per cent on December, it was the 9 per cent increase in leases in the inner city areas that were responsible for the overall uplift in metropolitan median rent. This was due specifically to the large rise in leases for strata dwellings following a dip in that sector during December.
“The rental market is showing us that there is a flight to outer suburbs by many tenants looking for more affordable accommodation. This explains why in the south-east corridor through Gosnells there was a 27 per cent increase in demand during the quarter and that region’s median lifted by 6 per cent to $420 per week.
“The jump in the overall median for the central region and inner city area was largely driven by the western suburbs, City of Perth, Fremantle, Bayswater, Bassendean and south- east parts of the City of Stirling such as Tuart Hill, Yokine, Mount Lawley and Dianella,” Mr Airey said.
Mr Airey cautioned against reading too much into the rent increase illustrated in several sub-markets, saying much was caused by the types of homes being leased during this period and which may have skewed the March data.
“We need to consider the rental data in context and the fact is the vacancy rate has eased off, lifting from 1.9 in December to around 2.3 per cent for the March quarter.
“With the long-term equilibrium in Perth being a vacancy rate of 3 per cent, it seems things are trending towards normal despite some pockets of greater demand where competition is nudging up prices,” Mr Airey said.
I think 10% will be sufficient for my needs.
Well my rental in Westminster had tenants move out on Friday and new tenants moving in today. I'm pretty happy with no vacancy
We got $480 pw - my new tenants are a couple with a King Charles Cavalier.
In my little pet friendly triplex we have 2 with cats, and one with a dog.
westminster, if you don't mind me asking, (PM or ignore me if you wish
)how much did the unit cost you inc all costs?westminster, if you don't mind me asking, (PM or ignore me if you wish
Happy to share.
$450k land
$630k all up inc every single thing from demolition to letterbox
So roughly $360k.
In reality this unit is the smallest of the 3 so probably cheaper but I paid everything as a lump sum so I'll say $360k each.
They have just finished their first year leases which started at $450, $460 and $500 (advertised at $450 and they offered $50 extra and were excellen tenants).
The $500 people are the ones who have left and new 12mth leases are $450 pw (didn't increase due to an issue/long story), $465 and $480 (this is the $500 new tenant)
Thanks westminster. So when you say $360k, is that including stamp duty, legal fees, and interest while building? Thanks again!
yeah it's a buyers Market!
