Top suburbs for WA property investors revealed: REIWA

Top suburbs for WA property investors revealed: REIWA
Staff reporterDecember 7, 2020

Medina, Armadale and Parmelia are among the top 10 Perth suburbs for investors to keep an eye out for in 2020, according to the latest data.

REIWA President Damian Collins said with the Perth property market starting to show signs of improvement, there are some great opportunities out there for investors.

“Our analysis showed there are a number of suburbs that have high rental returns for investors and the properties are leasing at faster than the average time. With interest rates at record lows, many of these properties are likely to be positively geared,” Mr Collins said.

“There are a lot of contributing factors that make a good investment property, however suburbs that have a high rental yield, such as Medina which had a 7.5 per cent rental yield, and lower than average days to lease, are ones to consider."

“In the 12 months to December 2019, it took approximately 17 days for a property to lease in Medina, which is well below the Perth average of 28 days, and demonstrates the suburb is in high demand by tenant,” Mr Collins said.

Of these top suburbs, eight of them are located south of the river, with Armadale and Parmelia following close behind Medina.

It took 14 days on average to lease a property in Parmelia, which had a rental yield of 5.6 per cent. Armadale had a higher yield at 6.2 per cent, however it took 27 days on average to lease.

Rounding out the top five is Seville Grove and Port Kennedy which both had a rental yield of 5.6 per cent.

Mr Collins said, "while the suburbs in this top 10 list are not rated by their lifestyle, popularity or future growth, they have faster leasing times and high rental yield which is important to investors."

“With Perth currently the most affordable capital city in Australia and the vacancy rate at a low of 2.3 per cent, now is the ideal opportunity for investors to get back into the Perth property market,” he concluded.

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