The Perth rental market can be a diverse place. There are all sorts of investment opportunities waiting to be taken if one simply knows how to look. However, first-time investors tend to make the mistake of thinking that all properties are alike, that the best suburbs in Perth are the best grounds to invest in.
This is not necessarily true.
Most property types can become unaffordable, unappealing, or unsuitable. It all varies based on the target market. What appeals to one person looking for a home in the suburbs of Perth may not appeal to one looking for a place close to the CBD. Select your investment opportunities accordingly.
What you should seek out is “owner-occupier appeal.” This means that should you choose to sell in the future; you can secure a high price and not suffer a loss of capital growth.
Apartments can be an excellent choice for investment property. Their primary appeal is to professionals, so the convenience of travel is more important than space.
When looking into one, the ideal is that it be somewhere within five to ten kilometres of the central business district. Amenities like shops and restaurants are also important, as is a reach of transportation networks.
A townhouse tends to be appealing to couples or small families. There is enough space for growth, but it is not too close to the busier parts of Perth.
Shopping, pools, parks and other recreational areas should be nearby. Convenient proximity to local employment can be a bonus, but unlike an apartment, it can be within driving – as opposed to walking – distance. Safety is also crucial; buyers for townhouses prioritise it highly.
For larger families, a home is the better choice.
Homes should be within 30km of the CBD or ten minutes drive of public transportation. Much like a townhouse, safety is a high priority. Unlike a townhouse, a home has to have more space. Homes appeal either to families that have more children or are looking for more living space.