- 31 Oct 2023
International buyers are still eyeing off Australia as a great place to invest in property with New Zealanders the most active, while Chinese investors are showing a renewed interest, according to a new report.
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Helen Avis (pictured above right), director of finance at Perth brokerage SMATS Services, who was named Pepper Money Broker Of The Year – Specialist Lending at the 2023 Australian Mortgage Awards, said she was not surprised by Perth’s popularity with buyers, and that it ranked so highly in the PropTrack report.
“Perth is a beautiful city. Our lifestyle and weather are the most desirable in the world,” Avis said.
“Our economy and job market are strong; wages are generous, and our school system is attractive for families, and we are a politically stable and safe place.
“Who doesn’t want to lap up the sunshine and endless coastline that Perth has on offer?”
According to Avis, Perth is one of the most affordable capital cities in Australia with a median house price is $570,000, according to property site REIWA.
“With a budget of $1 million, buyers are able to secure a lovely four-bedroom, two-bathroom home in a desirable suburb close to the city. When you compare that to the east coast, a $1 million budget doesn’t stretch very far at all, for example the median price in Sydney is $1,098,821 (according to CoreLogic).
“The price of housing and cost of living are certainly attractive to migrants.”
According to Avis, population growth and dire housing supply shortages are the key factors driving the Perth property market now.
“The distinctive disparity between supply and demand is rapidly forcing housing values upward,” Avis said.
“WA is experiencing the fastest population growth rate of any Australian state and territory. Our population grew by 2.8% to 2.855 million in the year to March 2023.
“The March quarter saw one of the biggest recorded population increases at 0.9% (according to the ABS). We are certainly seeing an influx of overseas and interstate migration.”
Avis said because Perth’s rental vacancy rate was below 1%, it was challenging for migrants to secure rental properties so ‘this has resulted in higher interest in purchasing property from this market segment’.
She said apart from strong interest in Perth properties from investors from the east coast of Australia, Australian expats in South East Asia, Dubai, London and US also showed a keen interest in the WA capital’s property sector.
“We are experiencing increased interest from USA, UK and NZ migrants, as well as Sydney, Brisbane and Melbourne looking to relocate. “
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