Property Renting in Western Australia

Article by: Elizabeth
Last updated: Tuesday, 11-Jul-2006 00:00:00 CEST

The Department of Consumer and Employment Protection receives thousands of calls a year from tenants and landlords wanting to know their rights and responsibilities regarding renting property. That’s not surprising, given nearly half of all West Australians rent, rather than live in properties they own.

Most Popular Pages

Renting in Western Australia is governed by a set of laws called the Residential Tenancies Act 1987.

At first glance these laws may seem complicated, but there are many different scenarios that have to be dealt with by the Act – and they definitely do come up!

This guide will explain WA’s renting laws in plain English. It will also help you find the right home, avoid common renting pitfalls and also show you how to have a harmonious (and lawful) relationship with your
landlord!*

*The title “landlord” in this guide is used as a general description for landlords and/or owners
of the property or real estate agents managing the rental property, unless an issue relates to them
specifically.
There are a range of tenancy advice services available in WA:
? The Department’s Consumer Protection Advice Line 1300 30 40 54 (8.30am-5.00pm weekdays, at the
cost of a local call statewide)
? The Tenancy Advice Service Telephone: 9221 0088 or country callers 1800 62 18 88

Beat the rental crush - let agents help you
Vacancy rates for rental accommodation have rarely been as low as they are now. According to figures by the Real Estate Institute of Western Australia, vacancy rates around metropolitan Perth are now under two per cent - the lowest rate in a decade.

There are several reasons for this. Contributing factors include: the influx of workers from the eastern states taking up opportunities in our booming resources sector; increasing house prices making many people on fixed or part-time low incomes more cautious about buying; an increase in overseas migration and the inability of the busy construction industry to keep ahead of demand. We simply have too few houses!

Whatever the case might be, it is resulting in some social and demographic changes in Perth. Rents have risen by more than 20 per cent over the last year and are still climbing. The Perth median rental is now above $200 per week, having risen around $10 for each quarter in 2005. Traditional areas of economy accommodation are changing as property prices rise.

It's now common for several applicants to apply for each advertised rental property, making it very difficult for owners to choose between so many quality tenants.

As the university year beings, several thousand overseas students will be flying into Perth to find a much tougher rental market than the one they left behind last November. Students from regional WA will be caught in the rental crush too.

However, its not just the usual renters who are finding it difficult. We are starting to see some elements in the rental market which are not usual for Perth. An emerging group are those people who recently sold their home and who are now waiting for a new one to be built. This can mean renting for 18 months or more and is a new experience for many people. We are also seeing the re-emergence of shared housing, where two or three friends get together to lease a house.

Perth is also seeing some tenants trying to out-bid one another in order to secure a place. However, property managers are not guided simply by rental income. What matters most to landowners are responsible tenants with good references. Property managers will also make sure the accommodation itself is suitable for the applicants. Large families wont be offered small apartments even if they offer to pay more for it.

If youre struggling to find a suitable rental property, contact your local REIWA member agent and speak with their property manager. Tell them what youre looking for, what your budget is and offer to provide good, current references.

REIWA agencies are keen to match up the right people with the right accommodation. Let them do the looking for you

Key features renters want in an apartment

A growing number of investors in Perth are now buying large numbers of high-density properties in the inner city area because of the growing trend for more people to live alone and seeking low maintenance accommodation.

Special preferences of renters was recently highlighted in a study undertaken in the United States by the National Association who surveyed 2,000 rental apartment households throughout America to determine what kind of rental accommodation they wanted.

The survey found that apartment dwellers say they choose to rent because it ‘suites their lifestyle’ and the three key points they seek when choosing an apartment were an attractive price, location and design.

Apartment size was an important issue for renters with 34% of those surveyed saying they wanted an even larger apartment.

Kitchen design and the number of bathrooms were also identified as key features that attract apartment residents. Amenities in the apartment were also important with 65% of rents citing parking as vital. Garage and storage space were tied for second at 38% while 20% or one in five of those surveyed cited 24 hour security as a key factor.

The survey confirmed that the vast majority of people who now rent are single. Most fall into two age groups – 25 –34 years old and those 65 years or older. Both of these two age groups represent half of all renters.

In addition, the survey also found that renters moved frequently, on average every two years and the vast majority of residents were households moving from one rental property to another.

The findings of the survey are very pertinent to the Western Australian housing market because it shows that a growing number of people renting apartments are now expecting a higher level of quality finish and facilities because more people are choosing to rent rather than being forced to rent. Rents also have to be competitive.

The size of rooms in apartments is also important with more people now wanting room sizes similar to the established homes. This is in part a reflection of the growing number of baby boomers moving from large family homes in the suburbs to the inner city area.

Parking is also a key issue with many people renting an apartment also retaining the use of a car. The apartment should also have high levels of security as highlighted by this survey.

“With investors now paying more than $350,000 for a inner city Perth apartment, it is now critical that they have a good understanding of the rental market they are seeking to satisfy before they make such a large investment.