Real Estate Institute of WA (REIWA) president David Airey has urged landlords across Perth to drop their rental rates, as more than 6,000 homes in the region remain empty, following the downturn in population growth.
Airey said the changing market conditions resulted in the low demand in Perth so landlords should stop waiting for lessees willing to pay for their high rates.
"Many are saying 'no we'd rather wait' but if you're sitting on a property that's empty for two, four, six, eight, even 10 weeks, that's a loss of huge income,” Airey said. "You'd be far better off to take a tenant offering the market rental rather than hanging out for one that you're not likely to get."
He added that suburbs like Claremont, Nedlands, Cottesloe and Mosman Park have seen more dramatic falls in rents, between 20% and 40%, compared to 2012.
Meanwhile, Jenni Wood, co-chair of REIWA's property managers' network, noted that tenants also have higher standards when it comes to quality, now that air-conditioning units are increasingly becoming an expectation alongside tidiness and security.
"Air-conditioning is now an increasing expectation and tenants also look for good security," she said.
“Tenants don't expect everything to be brand new but they do expect everything to be neat, clean and tidy."
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