Okay, homeowners who are also landlords in Perth, here’s the lowdown:
The Perth rental market isn’t as crazy tight as it was 2-3 years ago. Back in March 2025, the rental vacancy rate rose to 2.5%. To put that in perspective, a balanced market is considered to be between 2.5% and 3.5%. We haven’t seen a rate this high since September 2019.
While there’s still population growth keeping some pressure on the market and rents might still see some increases, the intense competition we saw in the past has eased. A year ago, it was a different story, with almost every suburb seeing rent increases, and many skyrocketing by over 20%. Now, fewer suburbs are experiencing rent rises, and the pace of growth has slowed significantly.
We’re also seeing more rental properties available, particularly in newer, outer suburbs (such as Eglington, Alkimos, Yanchep) where investors have been building. This increased supply means that in some areas, tenants might have more choices and a bit more negotiating power than they’ve had in recent years.
However, it’s important to remember that Perth isn’t one big market. Areas closer to the city or popular spots still have very low vacancy rates and high demand. But in those outer suburbs with more supply, you might find it takes a bit longer to find a tenant, and you might need to adjust your asking price to attract them.
So, while the overall market has loosened up, the experience can vary quite a bit depending on where your rental property is located. It’s a good time to connect with a local real estate agent to get a clear picture of the conditions in your specific suburb.