According to Perth Now, Perth rental vacancies have increases to 64 per cent over the span of 12 months. Based on the research reported by property analysts SQM there are 7507 vacancies in October this year and that is 64 percent higher than the 4567 vacancies at the same time last year.
The company has also found out that rental rates have dropped by 6.4 percent for houses while 8.4 percent for units over the same span of time. Perth is second to Darwin in rental market with respect to challenged rental scenarios. In Perth the vacancy rate is increasing by 75 per cent one year while the asking rental fell to 20.5 percent.
"Clearly, vacancies have been soaring in Perth and Darwin, while our east coast capital cities have generally been stable," Perth Now quotes what the SQM report's findings. "This is just one indicator on how the mining downturn has affected the economy. Clearly, not everywhere has been effected, but those cities and townships that do have exposure have been hit hard."
In the report that Australian real estate agency, REIWA, has released the median rent now is said to be $50 lower at $400 per week for year to September. According to Deputy president Damian Collins the Wanneroo South sub-market has seen the biggest fall in overall median rent price in the most recent quarter. In the said area median rent price dropped $30 to $410 per week, next to it is Belmont which cut down $25 to $400 per week, and then Stirling East with a $20 drop to $370 a week.
According to Perth Now, Mr Collin has explained the reason for this rental market tred, saying,"As more large scale multi-residential developments come onto the market, we will see an increase of rental stock in the short term providing tenants with plenty of choice, however over the long term with population trends forecast to increase, the Perth rental market should adjust."