They have their figures wrong here, mind you I didn’t look at the date, but according to REIWA last week, the Perth vacancy rate is now 0.4%. I have been watching a FB group about selling without agents, people are absolutely frantic, they can’t get rentals. Many are trying to buy, but their borrowing capacity is limited, it may improve a bit when interest rates fall. But I can’t see them falling a great deal. Perhaps 0.25% in June.......maybe.
The biggest problem is immigration, it is ridiculous, it only benefits the government and big business, so they can keep the labour costs down. What a joke, Aussies living in cars and tents. And as for this nonsense about greedy landlords, this is also a red herring. Insurance, rates, land tax, repairs and interest rates will not encourage anyone to invest in property. Just ultra wealthy Chinese etc.Even REIWA stated, their is no incentive for new landlords to come into the market.
Landlords are selling up in droves now, not just because of the above, but the unfair victimisation that is being thrown at them. The majority are Mum and Dad investors, just trying to plan for their retirement. Most properties sold are being bought by people from over East or foreigners, yes some are going to be bought by previous renters. Good luck to them, my old office told me that their rent roll has dropped due to investors jumping ship while they can get a decent price.
But, if you look at the historical figures, Perth has really lagged behind other states, very badly. For some time. One in three Australians rent, that is quite extraordinary. I have no answers really, but try to help people with suggestions where I can, very sad.
Rant over for now. Putting my old real estate pearls back in their box.
