Rental market buoyed by rising employment opportunities
In late September, WA Business News revealed that job vacancies in Western Australia have reached their highest level in more than five years, while the State’s mining industry has hit a record level of employment.
The latest data from the Australia Bureau of Statistics shows local job vacancies at 27,600 in August, up from 24,100 in May.
Chamber of Commerce and Industry of WA chief economist Rick Newnham said that WA’s jobs boost is being spurred on by the mining, resources and energy sector, reflecting an increased demand for skilled workers.
Historically, a rise in job vacancies in skilled roles results in an influx of workers from interstate and overseas, increasing the demand for rental accommodation.
With a current vacancy rate of 4.8% – down from 7.3% a year ago – Perth’s rental market is leading the property market recovery. The number of properties available for lease has declined by 25% over the past year, and by 4% in just the last month.
With stock levels declining and leasing activity increasing, the Perth rental market is finally starting to re-balance. For tenants, now is a good time to secure a longer-term lease before rents rise.