Are you thinking about buying a unit in Perth?
Perth’s property market is heating up, especially in the unit sector, driven by the tight rental market. According to recent data from the Real Estate Institute of Western Australia (REIWA), demand for units is soaring. Here’s what you need to know before diving into this hot market.
The Current Market Climate
The demand for units has surged due to affordability, lifestyle preferences, and tighter lending standards. This is not surprising given Perth’s median house prices are steadily climbing, prompting many to consider units as an attractive alternative.
Perth’s rental market is also under intense pressure, with vacancy rates remaining stubbornly low. As a result, many renters are looking to buy units to escape the stress of finding rental accommodation.
Key Benefits of Investing in Units
- Affordability: Units are generally more affordable than houses, providing an entry point for first-time buyers and investors alike.
- Lifestyle Appeal: Units offer low-maintenance living, often with amenities like gyms, pools, and communal gardens.
- Prime Locations: Many units are situated close to amenities, transport links, and entertainment hubs, making them highly desirable for professionals and students.
- Rental Yield: High rental demand means solid rental yields, particularly in popular areas like the CBD, East Perth, and Subiaco.
Tips for Potential Buyers
Research suburbs carefully. Suburbs like Fremantle, Scarborough, and Mount Lawley are known for their vibrant communities and unit developments. Consider what features or facilities are essential for your lifestyle, like parking, storage, or communal spaces.
Inspect units thoroughly and pay attention to the condition of common areas. It’s also helpful to speak to other residents if possible.
Navigating the Buying Process
- Pre-Approval: Secure loan pre-approval to give yourself an edge when negotiating.
- Choose Wisely: Work with a local real estate agent who knows the Perth unit market well.
- Review Strata Fees: Understand the strata fees and any potential special levies that may impact your finances.
- Legal Due Diligence: Engage a solicitor or settlement agent to review the contract and strata records.
Final Thoughts
The current market conditions make buying a unit in Perth an attractive proposition, particularly if you’re seeking affordability, convenience, and solid returns. However, it’s crucial to do thorough research and get professional advice to ensure a smooth buying process.