The Perth rental market remains under significant pressure, with demand continuing to outpace supply. According to REIWA, the number of properties available for rent sits at relatively low levels, with just under 2,200 dwellings (houses and units combined) listed in early September 2025. At the same time, leasing activity remains strong, with more than 700 properties rented in a single week, highlighting the intensity of tenant demand. This imbalance has driven median rents higher, with houses averaging around $695 per week and units around $650 per week, reflecting ongoing competition among renters.
On the supply side, limited new housing stock and slower construction completions have constrained the number of available rentals. Population growth, driven by interstate migration and overseas arrivals, has added further pressure to the market. Vacancy rates remain tight, and properties are leasing relatively quickly. These conditions suggest “on paper” that landlords continue to hold the upper hand, while tenants face affordability challenges and limited choice – however, we have seen signs that what is happening in market is a little different.
Our leasing team has seen a much more balanced rental market recently with a lower number of applications, and very non-committal applicants which has resulted in longer days on market and less quality options for property owners. In some areas, rent adjustments or reductions on past rents are required to secure high quality tenants. It is important to view the rental market in current conditions as a conglomerate of micro-economies, as broader trends do not often accurately portray what is happening within a specific area/market (and significant variation is present).
Looking ahead over the next 6–12 months, the rental market is expected to remain tight, with rents likely to edge higher. While some relief may come from new housing projects reaching completion, the pace of delivery is unlikely to fully meet demand in the short term.
As a result, Perth’s rental market is projected to stay competitive, with vacancy rates remaining low and rental prices maintaining upward pressure through to at least mid-2026. We expect inner suburbs, northern areas and coastal hotspots to remain the strongest rental stock as we head toward the warmer months. An investor seeking to acquire new investment properties in the current market would be wise to consider the property location wisely.