The property landscape in Perth has shifted considerably in recent years. With strong population growth, limited housing supply, and government-led infrastructure investment all playing a role, the market has become increasingly attractive to investors. At WA Settlement Services, I regularly work with buyers at various stages of the investment journey, from first-time landlords to seasoned portfolio builders.

I’ve written this article to provide clarity and practical guidance for those navigating Perth’s property market with investment in mind. Whether you’re considering purchasing your first investment property or looking to expand your portfolio, understanding the current market conditions, legal obligations, and the role of conveyancing is key to making informed decisions.

Understanding the current investment climate in WA

In 2025, Perth continues to stand out as one of Australia’s most promising property markets. After a 20% growth in median house prices during 2024, projections suggest a further 10–12% increase this year. This growth is driven in part by interstate migration, infrastructure development, and a strong local economy.

Rental yields remain attractive, particularly when compared with the eastern states. As of early 2025, the median rent for houses in Perth is $670 per week, while units average around $650. With a low vacancy rate hovering around 1%, landlords are enjoying minimal downtime between tenancies.

That said, the market is beginning to moderate. Westpac economists predict that Australia’s housing market will experience a modest 3% growth in 2025, citing affordability challenges, supply constraints, and uncertainty around interest rate cuts. This suggests a stabilisation phase rather than a downturn — still favourable for investors, but requiring a more strategic, well-informed approach. For a detailed analysis, you can refer to Westpac’s Housing Pulse report from March 2025.

What to consider before buying an investment property

When purchasing an investment property in WA, there are several factors worth evaluating beyond price and location.

Firstly, assess the long-term growth potential of the suburb. Consider areas like Baldivis, Yanchep and Wanneroo, which are benefiting from infrastructure upgrades, new rail links, and increased amenity. Look at population growth, vacancy rates, and planned development pipelines.

Secondly, factor in your investment strategy, whether you’re focused on high-yielding properties for immediate rental income, or long-term capital growth. Each requires a different approach to property selection, finance, and tax planning.

Thirdly, be aware of your obligations as a landlord. WA’s residential tenancy laws govern how investment properties must be managed, and these are updated periodically. Familiarising yourself with these rules, including changes around minimum housing standards and short-stay accommodation regulations, is essential.

Legal and financial obligations for investors

From a legal standpoint, buying an investment property in WA involves more than signing a contract. Due diligence is critical, i.e.understanding zoning restrictions, easements, strata bylaws (if applicable), and local planning schemes that could affect the use or development of the property.

From 1 January 2025, all short-term rental accommodation providers in WA must be registered under the new state-wide register. If your strategy involves holiday lets or Airbnb-style offerings, ensure your property complies with these new rules, or risk fines and the inability to let.

Financially, investors should account for land tax (which applies to properties not used as a primary residence), capital gains tax on any eventual sale, and the ongoing costs of property management, maintenance, and insurance. It’s worth consulting with a financial advisor or accountant who understands WA’s property tax environment, particularly if you’re investing as a company, trust or non-resident.

The role of conveyancing in the investment process

At WA Settlement Services, conveyancing is at the heart of what we do, and it is central to ensuring a smooth and legally compliant property transaction. For investors, this step ensures not just a legal transfer of ownership, but also peace of mind that your investment is secure and compliant.

Conveyancing involves reviewing the contract of sale, liaising with your lender (if applicable), arranging inspections, and conducting searches on the Title and property. These searches reveal information about encumbrances, caveats, strata compliance, and any local authority notices affecting the property.

For example, a recent client was about to purchase a unit in a complex that had not complied with updated cladding regulations. Our team identified this through a strata inspection report, which led to a renegotiation of the sale price. These kinds of findings can have a significant impact on your financial exposure and rental viability. NOTE: you can change this example as appropriate or leave it if it suits.

We also assist with settlement coordination, ensuring that funds are transferred, documents are lodged, and keys are handed over on time and in accordance with WA’s legislative requirements.

Supporting your investment journey

Investing in property can be an empowering way to build long-term wealth, but it comes with responsibilities and risk. The more informed you are at the outset, the better your outcomes will be.

As a settlement agent and property professional, I’ve worked with many investors who have succeeded by surrounding themselves with the right support team, i.e. one that includes financial advisors, property managers, and experienced settlement agents.