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November 6th, 2015 | Media Statement
Perth’s quieter property market is providing new opportunities for potential investors and tenants, according to Perth buyer’s agency, Property Wizards.
Buyer’s agent Liz Sterzel said the soft market is good news for buyers, with more choices of properties available, less competition and more room to negotiate.
“We have seen an increase in enquiries from potential buyers in recent weeks, looking to take advantage of the quieter market.
“In a market like this, with a large number of properties available, buyers can take their time and assess all their options to find a property that ticks the right investment boxes.”
POSITIVE SIGNS IN THE MARKET
Ms. Sterzel said that despite the current slowdown that has taken place in the real estate market, she does not see the market declining over the long haul.
“While population growth has slowed, Perth is still continuing to grow at the fastest rate of all the capital cities.
“People are continuing to be drawn here by the employment opportunities and lifestyle on offer, and this has helped stabilize the rental stock, with the median rent for housing having remained steady at $420 per week for several months.”
“To minimize vacancies, investors will need to keep their properties in tip top shape, and may also need to consider lowering the rent to appeal to tenants,” she said.
“Rents have risen a lot in recent years and this slowing is a natural part of the rental cycle so investors need to allow for the ups and do the best they can in the down cycles.
“If you’re feeling the strain, it’s more important to get a good tenant in at a lower price than hold out for higher, potentially unattainable rents for an extended period.”
INVESTMENT SUCCESS ALL ABOUT TIME IN THE MARKET
Ms. Sterzel said that in a soft market, investors must take care not to panic and keep in mind that successful investing in real estate is about location and time in the market, not timing the market.
“You can be confident in an investment property in a location that appeals to tenants and with strong growth drivers and add value potential.
“No matter the state of the market, there are impressive deals available for those investors who are willing to do their research, seek professional advice and get started.”