The Perth property market has seen further signs of life on the road to recovery this year—including a lower vacancy rate and the growing demand for higher-density living.
The Western Australian capital’s vacancy rate has dropped to 5.3%, the lowest since July 2015, according to the Real Estate Institute of Western Australia (REIWA).
Lower vacancy rates have been spurred on by an increase in population growth.
Higher Density Living
The demand for higher-density living in the WA capital is set to explode with the rising numbers of baby boomers reaching retirement and wanting to downsize, according to Shane Kempton, CEO of Professionals Real Estate Group.
“Traditionally, the Perth real estate market has been dominated by larger family-style homes, but this is now rapidly changed due to our ageing population and the fact that more people are living alone" said Kempton.
“ABS predictions indicated that 23% of all Western Australians will be aged 60 years and over by the end of 2021 compared with just 15% in 2001. This population shift will have major implications for the Perth real estate market, and in particular, result in a growing demand for higher-density homes.”