East Fremantle Best Rental Growth Suburb

EAST Fremantle is the only Perth suburb to feature in a national top 40 list dominated by suburbs in Sydney and Melbourne, of highest rental growth for units.


In latest analysis by RP Data, a unit in East Fremantle is fetching $350 in rent a week, up 18.6 per cent from last year’s rental of $295.

The West End suburb in Brisbane topped the list with weekly rent in the area reaching $480, up 26.3 per cent from $380.

Conversely, four Perth suburbs featured in the top 40 list of largest rental falls for units, with East Perth coming in at number six as its weekly rent dropped from $320 in 2009 to $300.

Tuart Hill came in at 11 with its weekly rent falling from $300 to $290, East Victoria Park was 28th with rent dropping $328 to $320 and Fremantle was 38th with the rent dipping from $340 to $335.

“Based on my analysis, demand has remained quite strong within the outer suburbs of the capital cities for units and selected inner city locations,” RP Data analyst Cameron Kusher said.

“However, demand has weakened for inner city units and this is likely the result of an extremely active first home buyers market during mid to late 2009.


“As a result, in the well-established inner city unit markets the renter has had a greater variety of choice, especially considering the significant supply within these markets and in a number of instances rental rates have actually fallen.”

However the outlook is that rents will start to increase across capital cities as a result of higher property value growth for units compared to houses (11 per cent versus 9.2 per cent) and minimal supply available in the market.

“With rental vacancy rates remaining tight and supply of new rental stock limited thanks to the insufficient supply of new stock, we anticipated that over the coming months vacancy rates will tighten further adding to the upwards pressure on rental rates,” Mr Kusher said.


>> view the article at Perth Now