The latest weekly data paints a fascinating picture of the current Perth property climate: a marketplace characterized by a brief cooling in short-term sales velocity, a welcome injection of new listings for buyers, and a rental sector that continues to exhibit tight, highly competitive dynamics. Furthermore, macro-economic factors such as the newly handed-down Federal Budget are poised to influence the market in the coming months.

Here is our deep-dive analysis of what happened in the Perth real estate market over the past week and what it means for you.

The Sales Market: A Temporary Dip in Volume but Choice Extends

According to the latest figures released by REIWA, sales transactions in Perth experienced a notable drop last week, with local members reporting a total of 732 transactions. This represents a 16.7 per cent decline compared to the week before.

When we break this data down by property type, we see a diverse story:

• Houses: House sales bore a significant portion of the decline, falling by 12.2 per cent week-on-week.
• Units: Conversely, unit sales remained relatively stable and similar to the previous week’s figures, showcasing the ongoing demand for more affordable, low-maintenance lifestyle options.
• Land: Vacant land sales experienced the sharpest downturn, plummeting by 58.5 per cent. This dramatic shift often reflects weekly variations in developer releases or a cautious approach from buyers balancing construction timelines and builder availability.

Despite the weekly drop in sales transactions, the good news for active buyers is that choice is beginning to improve. At the conclusion of last week, there were 4,809 properties listed for sale in Perth, which is a 4.5 per cent increase compared to the prior week.

This growth in inventory was driven by a 5 per cent rise in house listings and a 5.6 per cent increase in unit listings, while vacant land listings contracted slightly by 1.4 per cent. Looking at the broader horizon, last week’s total available stock is an impressive 21.3 per cent higher than four weeks ago and, crucially, 1.4 per cent higher than the exact same period last year. While the market remains structurally undersupplied, this incremental increase in listings offers fresh opportunities for buyers who have previously faced intense competition and limited choices.

Suburb Spotlight: Sales Performance

Perth’s outer and inner suburbs continue to display strong micro-market activity. The top-performing suburbs for sales volume last week were:

• Baldivis (16 sales)
• Perth (15 sales)
• Rockingham (13 sales)
• Aveley (11 sales)
• Cockburn Central (11 sales)

The diversity of the market was also highlighted by the week’s extreme price points. The highest recorded sale occurred in the premium coastal enclave of Sorrento, commands an impressive $3,362,000. On the other end of the spectrum, the most affordable transaction was a unit in Perth CBD, changing hands for $370,000—proving that opportunities still exist across all budgets.

The Rental Market: Listings Creep Higher, but Supply Constraints Persist

For tenants and property investors, the Perth rental market remains an area of intense focus. REIWA members reported 2,304 properties available for rent at the end of last week. This represents a 2.6 per cent increase on the previous week and a 7 per cent increase compared to four weeks ago.

While this short-term rise in available rentals provides a small sigh of relief for tenants searching for a home, the annual comparison reminds us that the market remains historically tight: current rental listings are still 3.3 per cent lower than they were a year ago.

In terms of actual leasing activity, 621 properties were leased last week. This figure is 3.7 per cent lower than the previous week and 2.5 per cent lower than four weeks ago, indicating that while there are slightly more properties on the market, the matching process or tenant movement has slowed slightly. However, leasing activity is still 3.8 per cent higher than last year, proving that when properties hit the market, they are being absorbed quickly by eager tenants.

Suburb Spotlight: Rental Performance

Demand for rentals remains concentrated in high-amenity and growth corridors. The top-performing suburbs for rental properties leased last week were:

• East Perth (17 rentals)
• Baldivis (16 rentals)
• Scarborough (15 rentals)
• Perth (11 rentals)
• Eglinton (10 rentals)

Connecting the Dots: The Influence of the Federal Budget

When analyzing local property data, we cannot ignore the broader economic landscape. The recently handed-down Federal Budget plays a pivotal role in shaping consumer sentiment, borrowing capacity, and long-term supply trends in Western Australia.

In this year’s budget, the federal government has continued its focus on addressing housing supply and affordability across the nation. For Perth, the ongoing commitments to infrastructure funding and targeted housing initiatives are designed to help unlock new land and fast-track residential developments. Furthermore, broad cost-of-living relief measures embedded in the budget—such as energy bill rebates and changes to tax thresholds—are designed to provide breathing room for household budgets.

From a real estate perspective, these cost-of-living reliefs may indirectly support the property market. By easing everyday financial pressures, the budget helps stabilize household incomes, which supports mortgage serviceability and tenant stability. However, with the budget also injecting capital into the economy, the Reserve Bank of Australia (RBA) will be keeping a watchful eye on inflation. For buyers and sellers in Perth, this means that while immediate interest rate relief may not be on the horizon, the underlying economic pillars of WA—underpinned by strong employment and population growth—remain exceptionally robust.

The Holdsworth Real Estate Takeaway

What does all of this mean for you?

• For Sellers: While weekly sales transaction volumes fluctuated downward, property prices remain strong, as evidenced by premium sales like the $3.36M property in Sorrento. With overall stock levels still low by historical standards, it remains an excellent time to list your property while competition among buyers remains healthy.
• For Buyers: The 21.3 per cent increase in listings over the last four weeks is the silver lining you have been waiting for. There is more stock on the market today than there was this time last year. Getting pre-approval now will allow you to act swiftly as new properties emerge.
• For Investors & Landlords: The rental market remains tightly contested. Despite a slight weekly increase in listings, available rental stock is lower than last year, meaning vacancy rates remain low and yields remain highly attractive.

At Holdsworth Real Estate, we pride ourselves on helping you cut through the noise of the headlines. Whether you are curious about the current value of your home in light of recent sales or need assistance managing your investment property in this fast-paced market, our team is always here to help.

Reach out to us today for a confidential discussion about your property goals!

At Holdsworth Real Estate, we monitor these architectural shifts closely because a home’s vintage significantly influences its market appeal, buyer demographic, and long-term value. Whether you are a buyer seeking timeless nostalgia or a seller wondering how your property’s unique era impacts its market position, understanding the last 100 years of WA housing style provides essential market insight.

Here is a look at how Western Australian homes have evolved over the last century, and what each era means for today’s real estate landscape.

The Early Eras: Character, Craftsmanship, and Restraint (1920s–1940s)

The 1920s was a decade defined by grand proportions and exquisite craftsmanship. Homes from this era are heavily celebrated in the modern WA market for their distinct character. Buyers actively compete for properties featuring high ceilings, polished timber floorboards, wide front verandahs, decorative leadlight glass, and original fireplaces. In premium coastal enclaves like Cottesloe, these homes are highly prized. When refreshed with modern interior updates, they offer an irreplaceable blend of heritage charm and contemporary luxury that consistently commands a market premium.

Moving into the 1930s, the meticulous craftsmanship remained, but designs began incorporating cleaner lines and subtle Art Deco influences. In established suburbs like East Fremantle, 1930s homes boast gorgeous jarrah floors, tuck-pointed brickwork, and ornate ceilings. A key shift in this decade was the introduction of slightly more connected living spaces. Today, these properties are ideal for lifestyle-focused buyers who love hosting, as the period features pair beautifully with modern alfresco extensions.

By the 1940s, home design shifted toward practicality. Influenced by the war years, architectural styles became more restrained and modest. While the exteriors were simpler, the construction remained incredibly solid. Properties from this post-war era—often found throughout the inner-southern suburbs—feature long central hallways, defined rooms, and decorative cornices. Many retain a distinct retro charm, showcasing original timber cabinetry, patterned flooring, and nostalgic kitchen finishes that appeal immensely to buyers looking for a home with a unique soul.

The Mid-Century Boom: Suburban Comfort and Textural Expression (1950s–1970s)

The 1950s ushered in a massive wave of suburban growth, heavily focusing on the needs of the growing post-war family. Comfort and functionality became paramount. Classic red-brick facades, hardworking kitchens, separate living areas, and cozy brick fireplaces became the standard in emerging suburbs like Bayswater. For today’s retro-loving buyers, the mid-century character of the 1950s—complete with vibrant, colored bathroom tiles and timber-lined rear rooms—offers a nostalgic warmth that is highly sought after.

By the 1960s, architects discarded ornate detailing altogether in favor of clean, functional lines. Large windows designed to capture natural light, low-pitched rooflines, and a seamless connection to the outdoors took center stage. In elevated suburbs like Doubleview, 1960s builds utilize broad windows to maximize views, mixing brick exteriors with interior stone feature walls and gold-toned bathroom fixtures. These homes are incredibly popular with modern renovators who appreciate their sturdy bones and bright, open feel.

The 1970s threw out the rulebook, embracing bold textures, rich colors, and less formal living zones. This was the era of the raked ceiling, exposed timber beams, sunken lounges, and feature brick walls. In hills-facing suburbs like Swan View, these homes offer a warm, retreat-like atmosphere. From a market perspective, the raw texture and bold personality of 1970s architecture have seen a massive resurgence, particularly among younger buyers looking for homes that stand out from the cookie-cutter crowd.

The Transition to Space and Polish (1980s–1990s)

The 1980s were not shy. Homes from this era were built for entertainment and personal statement, introducing built-in bars, geometric arches, patterned wallpaper, and vibrant tiled bathrooms. Suburbs like Bull Creek became synonymous with these sprawling family homes, where timber cabinetry and bold color choices dominated. Today, these properties offer incredible value for growing families, boasting generous floor plans and great structural integrity that can easily be modernized with cosmetic updates.

In the 1990s, WA housing transitioned into a more polished, neat suburban aesthetic. Features included manicured brick-paved driveways, elegant bay windows, formal lounges, and paved rear patios. Suburbs such as Halls Head saw a boom in these layouts, which cleverly separated formal entertaining zones from casual family spaces. Characterized by cream cabinetry and pastel-toned finishes, 1990s homes remain a staple for families seeking functional, well-presented suburban living.

The Modern Movement: Open Plans and Smart Footprints (2000s–2020s)

By the 2000s, the way we lived had fundamentally changed. The traditional, separate formal dining room disappeared, replaced entirely by expansive open-plan kitchen, dining, and living zones. In rapidly growing hubs like Cockburn Central, 2000s homes introduced large floor tiles, neutral color palettes, double garages, and extensive paved alfresco areas. These practical layouts were engineered for busy, modern households.

As land sizes shifted, the 2010s became the decade of efficient, low-maintenance living. With smaller blocks becoming common in newer residential developments like Piara Waters, clever design took over. Properties emphasized highly efficient, compact footprints with built-in storage, seamless indoor-outdoor flows, and lock-and-leave convenience.

Today, in the 2020s, the focus is on ultimate versatility and minimalist restraint. Contemporary homes—like those being built in Bassendean—favor starkly neutral interior palettes, white cabinetry, timber-look flooring, and highly adaptable spaces. The inclusion of dedicated theatre rooms or home offices reflects the modern demand for layouts that accommodate remote work, relaxation, and family flexibility.

What This Means for Today’s WA Property Market

At Holdsworth Real Estate, we see a diverse pool of buyers looking for very different eras of WA housing.

• The Character Seekers: There remains an incredibly strong, premium market for character-rich homes from the 1920s to the 1950s. Buyers are willing to pay a premium for the architectural integrity, jarrah floors, and soaring ceilings that simply cannot be replicated today.
• The Mid-Century Modern Enthusiasts: Homes from the 60s and 70s are highly prized by design-conscious buyers who love the vintage aesthetic, large windows, and generous block sizes typical of these decades.
• The Turnkey, Low-Maintenance Buyers: Conversely, a massive segment of the market—including busy professionals and downsizers—actively seeks out 2010s and 2020s builds. They prioritize energy efficiency, smart layouts, minimal weekend maintenance, and modern lifestyle amenities like theatre rooms.

No matter which decade your property belongs to, it has a unique selling point in today’s diverse Western Australian market. If you are curious about how your home’s era and architectural style influence its current market value, the team at Holdsworth Real Estate is here to help. Reach out to us today for a comprehensive, personalized market assessment!

With an aggressive “supply-first” agenda and a complete reset of investor tax structures, there is a lot to unpack. At Holdsworth Real Estate, we’ve spent the morning dissecting the fine print to understand what this means for our Perth community, from first-home buyers to long-term investors.

1. The Investor Earthquake: Negative Gearing & CGT Reset

The headline of the night is a fundamental restructuring of property taxes. The government is clearly trying to tilt the scales in favour of owner-occupiers and “new” supply.

The End of Negative Gearing for Established Homes

In a move that caught the industry by surprise, the Treasurer announced that negative gearing for established residential properties is being abolished, effective July 1, 2027, for any property purchased after 7:30 pm on May 12, 2026 (last night).

• The Rule: If you bought an existing house or apartment last night or moving forward, you can no longer deduct net rental losses against your salary or wages.
• The Silver Lining: These losses aren’t gone; they are “quarantined.” You can carry them forward to offset future rental income or capital gains when you eventually sell.
• The Incentive: Crucially, new builds remain exempt. The government is essentially saying: “If you want a tax break, you have to help us build more houses.”

Capital Gains Tax (CGT) Overhaul

The simple 50% CGT discount is also being phased out. It is being replaced by a cost-base indexation model (similar to the system used pre-1999) and a new 30% minimum tax rate floor for capital gains.

Wait, what about my current house?

Don’t panic. The Budget includes strict grandfathering provisions. If you already own an investment property or were under contract before 7:30 pm last night, your current negative gearing and CGT arrangements stay exactly as they are.

2. Supply Injection: Unlocking the “Building Blocks”

We’ve always said you can’t build houses without pipes and roads. The Budget addresses this with a new $2 billion Local Infrastructure Fund.

• The Target: This funding is designed to unlock “shovel-ready” land by providing the water, power, and sewerage infrastructure needed for up to 65,000 new homes nationwide over the next decade.
• The WA Angle: For our local market, this is vital. With WA’s construction workforce already stretched thin, the Budget also announced that all mandatory Australian Standards will now be free for builders and trades to reduce compliance costs and red tape.
• AI Approvals: The government is also unleashing AI-enabled digital tools to break the bottlenecks in environmental and planning approvals.

3. What This Means for Prices and Rents

Treasury’s own modelling suggests these changes will have a cooling effect on the market, but not a crash.

• House Prices: Growth is forecast to temper—growing by roughly 2% less over the next few years than it otherwise would have. This is intended to give first-home buyers a slightly lower entry point.
• Rents: While there are concerns about investors exiting the market, Treasury estimates the impact on rents will be “gradual,” potentially increasing median rents by less than $2 per week.
• Foreign Investment: The ban on foreign purchases of established dwellings has been extended again, now running until June 30, 2029, keeping the focus on local buyers.

4. Wins for Small Business

For the many “mum and dad” investors who run their own businesses, the $20,000 instant asset write-off has finally been made permanent. This is a huge win for tradies and small business owners in the property sector, providing much-needed certainty for equipment and tool upgrades.

The Holdsworth Perspective

The 2026-27 Budget is a clear signal: the era of “passive” property investing in established houses is being de-incentivised.

If you are looking to grow a portfolio, the “new” market—apartments, townhouses, and new builds—is where the tax advantages now live. If you are a first-home buyer, you’ve just been given a significantly larger seat at the table as investor competition for existing stock is expected to cool.

Are you wondering how these grandfathering rules affect your current portfolio? Or are you ready to pivot your strategy toward new builds to keep your tax benefits?

Reach out to the team at Holdsworth Real Estate. We’ve been through many Budget cycles, and while the rules have changed, the value of expert local advice never does. Let’s make sure you’re positioned to thrive in this new landscape.

If you’ve been following the Western Australian property market recently, you’ll be well aware that housing affordability is becoming a growing challenge for many. The golden rule of real estate remains unchanged: the key to improving affordability is increasing supply. However, simply expanding our urban footprint with endless streets of traditional single residential dwellings is no longer the magic bullet.

Western Australia urgently needs more housing diversity. To sustainably accommodate our growing population, we must shift our focus toward high and medium-density stock—such as apartments, townhouses, and villas—in well-located, established areas.

The Missing Middle: The Growing Demand for Strata

At Holdsworth Real Estate, we believe strata housing has a critical role to play in addressing our state’s current housing shortage. The math makes sense: strata developments can deliver significantly more dwellings on a single parcel of available land compared to the traditional one-house-per-block approach. By maximising land use, developers can provide modern homes that are comparatively more affordable to both build and buy.

The demand for this type of living is surging. Over the last couple of years, Western Australia has experienced very strong price growth, which has naturally seen traditional detached houses become less affordable. As a result, we’re seeing a significant shift in buyer behaviour. There is a soaring demand for strata homes, particularly in high-amenity areas close to urban centres, public transport links, and popular lifestyle hubs.

This shift isn’t just driven by first-time buyers looking for an affordable entry point into the market. Strata properties are also essential for facilitating downsizing. Every week, our agents speak with local downsizers who want to stay in the community they know and love. Unfortunately, a severe lack of medium-density options is effectively locking them into large, high-maintenance family homes, which in turn chokes the supply of family homes available for up-and-comers.

Roadblocks to Medium-Density Development

Despite this clear demand, Western Australia is currently struggling to build enough strata housing to keep pace. In recent years, soaring construction costs have meant that, within the apartment sector, only luxury, high-end products have been financially viable for developers to pursue. Consequently, there has been a glaring shortage of new, genuinely affordable apartment projects hitting the market.

Compounding this issue are systemic constraints. Developers frequently face frustrating delays in securing building approvals at the local government level, alongside persistent challenges and red tape associated with essential power and water connections. These hurdles have heavily hampered the delivery of the medium-density housing our state so desperately needs.

Welcome Relief: The WA State Budget Steps In

Fortunately, there is a silver lining. Sweeping measures announced by the Cook Government ahead of the WA State Budget offer highly welcomed support for the local construction and strata housing sectors. Let’s break down the two major initiatives:

1. The $250 Million Pre-Sale Guarantee

One of the most significant financial barriers to any new multi-dwelling development is the strict pre-sale requirement imposed by lenders. Banks generally mandate that developers sell a high proportion of homes within a project off-the-plan before they will release construction funding. In a tight economic climate, this can significantly delay the commencement of construction, or worse, render vital projects completely unviable.

To tackle this head-on, the WA Government has introduced a massive $250 million Pre-sale Guarantee, designed to facilitate the delivery of up to 1,200 new apartments and townhouses. Under this scheme, Keystart will provide a guarantee to purchase up to 50 per cent of any unsold homes in an approved apartment development upon completion.

While developers are encouraged to sell these apartments on the open market as construction progresses (which causes the guarantee to lapse), having this safety net means projects can break ground much sooner. If the guarantee is ultimately called upon, Keystart will purchase the remaining homes at a minimum 10 per cent discount on market value in the Perth metropolitan area, and a 7.5 per cent discount in regional WA. The Government will then make these eligible apartments available to Keystart customers through the $210 million Urban Connect Shared Equity program, or allocate them to other vital State Government housing initiatives.

To ensure this directly aids affordability, developments utilizing this scheme must sell at least 30 per cent of the project’s homes at prices below Keystart’s property price limit, which is directly pegged to the REIWA median house sale price for Perth (with different criteria applying to regional areas).

2. Extension and Expansion of Off-the-Plan Concessions

For buyers, there is even more good news. The WA Government’s off-the-plan stamp duty concession scheme—initially launched to boost apartment construction and expanded last year to include townhouses—is being broadened once again. This year, these incredibly lucrative concessions will also apply to villas, units, duplexes, and triplexes within an approved strata scheme.

Better yet, the scheme, which was originally due to end on June 30, has been officially extended for another two years, and the eligibility thresholds have been generously increased:

• Off-the-Plan Purchases: Absolutely no stamp duty will be paid for dwellings purchased off-the-plan up to a value of $800,000, with a tapering 50 per cent concession available for properties priced above $900,000.
• Under-Construction Purchases: A massive 75 per cent stamp duty concession is available for homes up to $800,000, which tapers to a 37.5 per cent concession for properties priced above $900,000.

The Holdsworth Verdict

Here at Holdsworth Real Estate, we strongly expect these strategic changes will supercharge infill development across Western Australia. By incentivizing the creation of diverse housing stock, the government is actively paving the way for more affordable housing options for local buyers at all stages of their real estate journey.

While we acknowledge that there are still significant logistical challenges to overcome in the delivery of new homes—including ongoing global supply chain issues exacerbated by the conflict in the Middle East—these Budget measures represent highly positive, actionable steps toward solving WA’s supply shortage through the support of strata housing.

If you are interested in exploring new strata opportunities, off-the-plan purchasing, or simply want to discuss what these new measures mean for your property journey, reach out to the friendly team at Holdsworth Real Estate today. We are here to help you navigate this evolving market!

This week, we are taking a deep dive into the latest data released by REIWA to help you make sense of what is happening on the ground across the Perth metropolitan area. We are seeing some fascinating shifts in both the sales and rental sectors, with notable changes in inventory levels that both buyers and sellers need to pay close attention to.

Here is everything you need to know about the Perth property market right now.

The Sales Market: A Shift in Momentum

Looking at the most recent weekly data, overall sales transactions across Perth experienced a slight cooling period, down 12.4 per cent compared to the previous week. In total, 694 transactions were successfully negotiated.

When we break these figures down by property type, we can see exactly where the market is shifting. House sales saw a 10.7 per cent decrease from the week prior, while unit sales experienced a sharper drop of 23 per cent. However, it wasn’t all downward trends. Interestingly, vacant land sales bucked the broader market movement, jumping up by 8.3 per cent. This suggests that despite ongoing construction challenges in the broader industry, the appetite for Western Australians to secure a block and build their own custom home remains remarkably strong.

At Holdsworth Real Estate, we always keep a close eye on neighborhood-specific data. The top-performing suburbs for sales last week represent a fantastic mix of inner-city convenience, coastal lifestyle, and family-friendly growth corridors. The leading suburbs were:

• Perth (14 sales)
• Baldivis (13 sales)
• Gosnells (11 sales)
• Scarborough (10 sales)
• Ellenbrook (8 sales)

The diversity of the Perth market was also on full display when looking at price points. The highest recorded sale for the week was a stunning property in the beautiful hills suburb of Lesmurdie, which changed hands for $1,850,000. On the other end of the spectrum, the most affordable entry into the market was a $505,000 property in the vibrant, inner-city hub of Highgate.

Listing Levels: Fantastic News for Buyers

If you have been struggling to find the right property in a highly competitive market, we have some excellent news. Property listings are finally on the rise, giving buyers some much-needed breathing room and choice.

At the end of last week, there were 4,459 properties available for sale across Perth. This represents a solid 6.6 per cent increase compared to the previous week. This boost in inventory was seen across the board: house listings increased by 6.7 per cent, unit listings were up by 5.2 per cent, and vacant land listings surged by 9.2 per cent.

Even more significantly, when we zoom out slightly, total properties available for sale are currently sitting an impressive 36 per cent higher than they were just four weeks ago. While we are still tracking 6.2 per cent lower than the levels seen at this same time last year, this sudden monthly injection of new stock means the market is transitioning. Sellers can no longer rely on scarcity alone to drive up prices; premium presentation and expert marketing by the Holdsworth Real Estate team have never been more critical to stand out in a growing crowd.

The Rental Market: Stock Levels Edging Upwards

For our investors and prospective tenants, the rental market continues to show signs of subtle evolution. Last week, there were 2,233 properties available for rent in Perth, marking a 3 per cent increase from the week prior.

Much like the sales market, rental inventory is experiencing a short-term boost. The number of available rental listings is now 14.6 per cent higher than it was four weeks ago. However, to put this in perspective, total rental stock remains 2.8 per cent lower than it was a year ago, meaning the market is still fundamentally tight and highly competitive for quality homes.

Leasing activity saw a slight dip, with 554 properties leased last week—a decrease of 12.1 per cent from the previous week and 19.2 per cent lower than a year ago. Despite the weekly drop, this leasing figure is still 13.5 per cent higher than it was a month ago.

The top-performing suburbs for rentals mirrored the sales data closely, highlighting high-demand areas where tenants are eager to secure a lease:

• Baldivis (12 rentals)
• Perth (12 rentals)
• Scarborough (11 rentals)
• East Perth (10 rentals)
• Alkimos (9 rentals)

What This Means For You

So, how do you navigate these shifting sands?

For Buyers: The 36 per cent jump in listings over the past month is your golden opportunity. With more stock hitting the market, now is the time to get your finances approved and start attending home opens with renewed confidence. You have more leverage and choice than you did at the start of the season.

For Sellers: The days of simply putting a “For Sale” sign on the lawn and waiting for multiple offers to roll in might be cooling as inventory rises. To achieve a premium price, you need a strategic approach. High-quality photography, expert staging advice, and a targeted digital marketing campaign are essential. That is exactly what the Holdsworth Real Estate team provides.

For Landlords: While the rental market remains in favor of property owners overall, the slight increase in rental stock means tenants have slightly more options. Pricing your rental competitively and ensuring the property is well-maintained is key to minimizing vacancy periods and attracting high-quality, long-term tenants.

Ready to Make Your Move?

Real estate is a highly localized business, and broader statistics only tell part of the story. If you want to know exactly what these numbers mean for your specific property or suburb, the team at Holdsworth Real Estate is here to help.

Contact us today for a confidential, obligation-free market appraisal of your home or investment property. Let our expertise be the key to your next successful property transaction!

While these discussions are often highly emotional, it’s vital to step back and look at the hard data and the potential long-term consequences for our local rental ecosystem.

The Lesson of Unintended Consequences

History is a stern teacher. We’ve seen how well-intended government interventions can inadvertently squeeze the very people they aim to help.

• The COVID Rental Moratorium: While it provided short-term relief, it severely impacted investor sentiment. When it ended, we saw a mass exodus of investors from the WA market.
• Building Incentives: These were designed to stimulate the industry but instead triggered a surge in demand that skyrocketed construction costs and sent many builders to the wall.

Both events contributed to the current supply shortage we see today. As any economics student will tell you: when supply is low and demand is high, prices inevitably rise.

Why “No-Grounds” Matters to the Market

It’s important to clarify the terminology: we aren’t talking about evictions (which require legislated reasons). We are talking about the ability to end or not renew a lease at the end of its term without providing a specific reason.

Removing this flexibility creates a ripple effect of “hidden” costs:

1. Increased Legal Friction: Currently, many owners opt for a “no-grounds” non-renewal because it is less confrontational. Without it, owners would be forced to issue formal breach notices to remove problematic tenants.
2. Blemished Records: A non-renewal is neutral. A breach notice stays on a tenant’s record, making it significantly harder for them to secure a home in the future.
3. Strict Screening: To mitigate the increased risk of being “stuck” with a problematic tenancy, property managers will likely implement much more intensive (and expensive) screening processes. This makes it harder for people with limited references or non-traditional backgrounds to enter the market.

The Bottom Line: What is the Price Tag?

REIWA recently commissioned Synergies Economic Consulting to model the impact of these changes. Their findings suggest that the increased risk and reduced flexibility for housing providers would lead to higher rents.

Earlier modelling indicated a median weekly rent increase of $10 due to these reforms. However, in today’s climate of rising interest rates and extreme supply shortages, that figure is likely to be significantly higher.

Our Perspective

At Holdsworth Real Estate, we want a rental market that works for everyone. We fear that removing no-grounds terminations may be another “well-intended” reform that ends up making life harder—and more expensive—for WA renters.

If you have questions about how these potential legislative changes might affect your investment property or your current tenancy, our team is always here to provide expert, grounded advice.

What are your thoughts on the proposed changes? We’d love to hear your perspective on how we can best support a stable rental market in WA.

At Holdsworth Real Estate, we believe in looking past the “noise” to find the signal. While nothing is set in stone, the federal budget discussions for May 2026 have put these two pillars of property investment squarely in the crosshairs.

So, what actually happens if these changes go through? Let’s pull back the curtain on the proposed reforms and what they mean for the Perth market and your portfolio.

1. Negative Gearing: The “Two-Property” Proposal

The current buzz in Canberra involves a proposal to limit negative gearing to just two properties. On paper, this is framed as a way to “level the playing field” for first-home buyers. However, history and economic reality tell a different story.

The Lesson from the 1980s

We’ve been here before. In 1985, the Hawke/Keating government famously scrapped negative gearing. The result? A rental crisis so severe that they were forced to reinstate it just two years later in 1987. During that brief window, rents in cities like Sydney and right here in Perth skyrocketed by approximately 25%.

The 2026 Reality

The context today is even more fragile than it was in the ’80s. As of April 2026, we are grappling with:

• Critically Low Vacancy Rates: Perth is sitting at a staggering 0.5% to 0.6% vacancy rate. Finding a rental right now is already like finding a parking spot at the beach on a 40-degree day.
• Severe Housing Shortages: We simply aren’t building enough homes to keep up with population growth.

The Equation is Simple: Less investor incentive = Fewer rental properties being bought or built = Even higher rents for tenants.

2. The Capital Gains Tax (CGT) “Lock-In” Effect

There is also serious talk about reducing the CGT discount—currently 50% for assets held over a year—down to 33%.

While some argue this would “cool” the market, the more likely outcome is a “lock-in” effect. If it costs significantly more in tax to sell a property, investors simply… won’t sell. They will hold onto their assets for longer to avoid the tax hit.

For a market like Perth, which is already starving for “stock on market,” this is a major red flag.

• Less stock on market means more competition for the few homes available.
• Increased competition inevitably drives prices up, the exact opposite of what “affordability” measures are supposed to achieve.

3. The Elephant in the Room: Supply

Both of these proposed changes point toward the same outcome: Less Supply. Whether it’s discouraging a mum-and-dad investor from buying a third rental or making a long-term owner hesitant to sell, the result is a tighter, more expensive market.

The core issue in Australia hasn’t changed in a decade: We need more houses. Taxing the people who provide 90% of the rental housing in this country doesn’t lay a single brick. In fact, current industry modelling suggests that removing these incentives could lead to a reduction of over 45,000 new homes being built nationwide over the next few years.

What Does This Mean for You?

Whether you’re a long-term Holdsworth client or looking to enter the Perth market, here is our take:

1. Don’t Panic-Sell: These are proposals, not legislation. Historically, even when changes occur, “grandfathering” clauses usually protect existing investments.
2. Focus on Fundamentals: In a low-supply environment like Yokine, Mount Hawthorn, and Tuart Hill, the demand for quality housing isn’t going anywhere. Rental yields in Perth have hit record medians of $740/week for houses this month—the underlying demand is real and robust.
3. Stay Informed: The May 2026 Federal Budget will be the moment of truth. Between now and then, there will be plenty of political posturing.

The Bottom Line: At Holdsworth Real Estate, we’re keeping a close watch on these developments. Our mission remains the same: helping you navigate the market with clarity, whether the tax laws are changing or staying exactly as they are.

Are you wondering how these potential changes might impact the value of your specific property or investment strategy? Contact us today for a free, no-obligations chat!

Please note: This information is general in nature and does not constitute financial or tax advice. We always recommend speaking with a qualified accountant or financial planner regarding your specific circumstances.

It’s a classic crossroads, and in today’s evolving property landscape, the answer isn’t always found in a simple pros-and-cons list. Whether you’re staring at a cramped kitchen or dreaming of a backyard that doesn’t require a weekend of weeding, deciding between a renovation and a relocation is a major life pivot.

At Holdsworth Real Estate, we see clients grappling with this daily. Both paths involve a significant investment of time, emotion, and capital. To help you clear the fog, we’ve broken down the market realities of both options to help you decide which move—or stay—is right for your future.

When the Walls Talk: The Case for Renovating

Renovating is often the first instinct for homeowners who have deep roots in their community. If you love your neighbours, your local coffee shop knows your order by heart, and your kids are thriving in the local school, leaving can feel like losing a limb.

The “Love It” Factors:

• Customization: You aren’t just buying a house; you’re tailoring a suit. Renovating allows you to create a home office that actually works for your remote-work schedule or a kitchen designed specifically for your Sunday roasts.
• Cost Avoidance: You bypass the “transactional friction” of the real estate market—specifically stamp duty, agent commissions, and the logistical nightmare of moving day.
• Value Addition: When done correctly, a smart renovation can significantly boost your property’s equity, provided you don’t “over-capitalize” (spending more on the Reno than the suburb’s price ceiling allows).

The Reality Check:

Renovating isn’t for the faint of heart. With building material costs and labour shortages still lingering in 2026, timelines can stretch. You must ask: Can this structure actually support my vision? If you need a fourth bedroom but your block is already at its maximum footprint, a renovation might just be a very expensive band-aid.

Seeking Fresh Soil: The Case for Relocating

Sometimes, the “bones” of a house aren’t the problem—the location is. You can’t renovate your way into a shorter commute, and you can’t knock down a wall to put your house in a different school catchment zone.

The “List It” Factors:

• Lifestyle Alignment: Life stages change. The steep driveway that was fine in your 30s might feel like an Everest in your 60s. Relocating allows you to find a property that matches your current physical and social needs.
• Turnkey Convenience: Moving into a house that is already finished means you know exactly what you’re getting. There are no “hidden structural surprises” behind a bathroom tile that only appear midway through a demolition.
• The Fresh Start: There is a psychological benefit to a clean slate. New surroundings often bring a renewed sense of energy and opportunity.

The Reality Check:

Relocating is a major financial event. Beyond the purchase price, you have to account for the costs of selling your current home and the taxes associated with buying a new one. In a competitive market, you may also find yourself in a “bridge” situation where you’ve sold but haven’t yet secured your next dream home.

The Financial Balancing Act

To help visualize the “hidden” costs, consider this comparison:

The Four Questions That Matter

Before you call a builder or an agent, sit down with your household and answer these honestly:

1. Is the location still right? If you love the house but hate the 45-minute drive to work, no kitchen island will fix your happiness.
2. Can the current home actually be fixed? Consult an expert. Some layout issues or structural limitations are simply too expensive to rectify.
3. What is the “Total Cost of Change”? Compare a firm renovation quote against the cost of stamp duty and moving. Sometimes the numbers will make the decision for you.
4. Where do we see ourselves in 2031? Don’t solve today’s problem with a solution that expires in two years. Look for a five-to-ten-year horizon.

How Holdsworth Real Estate Can Help

Deciding whether to stay or go shouldn’t be done in a vacuum. At Holdsworth Real Estate, we pride ourselves on being more than just “salespeople”—we are property strategists.

We can provide you with a complimentary market appraisal of your current home to help you understand your borrowing power. More importantly, we can give you an honest perspective on whether a renovation will actually add value in your specific suburb or if your money would be better invested in a new postcode.

The bottom line: If the problem is the house, you might be able to fix it. If the problem is the lifestyle, it’s time to move.

Ready to explore your options? Contact the Holdsworth team today, and let’s figure out your next chapter together.

At Holdsworth Real Estate, we believe that sound property decisions are built on clarity, not rumors. However, the current proposals being floated by the Federal Government have many of our clients asking: Who actually wins here? Let’s pull back the curtain on the proposed changes and look at the real-world implications for the Perth market, our investors, and—most importantly—our tenants.

The CGT Discount: A “Solution” in Search of a Problem?

The government is reportedly weighing up a reduction in the 50% Capital Gains Tax discount. The intention is clear: discourage speculation and make housing more “affordable” for first-time buyers. But the math doesn’t quite hold up.

Reports suggest that even a significant reduction in the discount might only lead to a 1% drop in house prices. For a buyer in Perth looking at a median-priced home of $880,000, that’s a “saving” of $8,800. In a market where houses are selling in under 10 days, that tiny price shift is unlikely to be the game-changer buyers are hoping for.

The Supply Trap: There is a theory that reducing the CGT discount will prompt a surge of investors to sell, thereby increasing supply. In the Perth context, this is a bit of a mirage. Demand here is so incredibly high that any “short-term surge” of investor stock would be absorbed by the market almost instantly. Once that initial wave is gone, we aren’t left with more houses; we’re just left with fewer rental properties and a building industry with even less incentive to start new projects.

Negative Gearing: Targeting the “Big” Investors

Another proposal on the table is the restriction of negative gearing to those owning fewer than three investment properties.

On the surface, this sounds like it targets “property moguls.” But the ATO data tells a different story. Only about 4% of Australian investors (roughly 97,300 people) own three or more negatively geared properties.

The Unintended Consequences: If these investors decide to sell down their portfolios to stay under the threshold, we see two immediate negative effects:

1. Rental Stock Evaporates: For every property an investor sells to a homebuyer, one rental home disappears from the market.
2. Competition for First Home Buyers: Investors who are blocked from larger portfolios will likely pivot their strategy toward lower-priced suburbs where they can achieve neutral or positive gearing. These are the exact same suburbs where first home buyers are trying to get their foot in the door. Instead of helping, this policy could accidentally put investors and first-home buyers in a head-to-head bidding war.

The Human Cost: Tenants in the Crosshairs

At Holdsworth, our biggest concern is the rental market. Perth is already navigating historically low vacancy rates. If the legislative environment becomes hostile toward investment, the “mass exodus” of landlords we saw during the pandemic could repeat itself.

When rental supply declines, rent prices inevitably go up. If an investor doesn’t sell, they are likely to raise rents to cover the loss of tax benefits. In either scenario, the tenant pays the price. At a time when we should be encouraging more people to provide housing, these policies seem to be doing the opposite.

The $3.1 Billion Warning: What the Data Says

It isn’t just “real estate talk.” Independent modelling by Qaive and Tulipwood Economics has painted a stark picture of what happens when you tax housing more heavily. Their research shows that removing negative gearing or halving the CGT discount would lead to:

• A $3.1 Billion hit to the GDP.
• A reduction of 45,500 new housing starts over the next five years.
• The loss of 4,250 construction jobs annually.
• Rents rising by 2% more per year than they otherwise would.

When the stated goal of the National Housing Accord is to build more homes, a policy that results in 45,000 fewer starts feels like a step in the wrong direction.

The Holdsworth Take: Focus on Supply, Not Tax

The intentions behind these proposals—to help people into homes—are noble. However, the Perth market is a unique beast. We don’t have a “tax” problem; we have a supply problem.

Expert Opinion: Reducing the appetite for property investment doesn’t build new houses. It just reshuffles the existing ones while making the rental experience more expensive and difficult for those who can least afford it.

Now is the time to focus on policies that streamline the building process, reduce developer costs, and incentivize the creation of new dwellings.

What should you do? If you are an investor concerned about your portfolio, or a buyer trying to time the market, don’t panic. Policy debates are often noisier than the actual results. The best strategy is to stay informed and ensure your current investments are performing at their peak.

Looking for a strategy session? At Holdsworth Real Estate, we keep our finger on the pulse of both local Perth trends and Federal policy shifts. If you want to discuss how these potential budget changes might affect your property goals, we are here to help.

Give us a call today, and let’s make sure you’re prepared for whatever May brings.

From the conflict in the Middle East to shifting federal policy discussions, there is a lot to unpack. Here is our comprehensive look at the Perth property landscape and how these “big picture” issues are hitting home.

The Building Bottleneck: Why “Established” is King

The building industry is currently facing a “perfect storm.” According to REIWA, the ongoing conflict in the Middle East is driving up oil prices, which has a direct ripple effect on construction costs and the logistics of the global supply chain.

As REIWA Deputy President Rob Mandanici recently noted, we’ve seen this script before. During the pandemic, supply chain disruptions led to a massive shift in buyer behavior. When people can’t build with certainty, they turn to the established market. This creates a surge in demand for existing homes, which in turn pushes prices higher—especially when inventory is already low.

For those currently in the rental market or looking to build, this is a concerning trend. Delays in construction keep people in their rental properties longer, preventing the “flow” of housing that usually keeps the market balanced.

The Rental Crisis: A Squeeze on Supply

The Perth rental market continues to be a point of significant concern. The median dwelling rent rose to $720 per week in March, a nearly 6% increase compared to this time last year.

Perhaps more alarming is the long-term trend of investor participation. Modeling suggests that roughly 20,000 rental properties have been removed from the WA market since the pandemic began. With talks of changes to Capital Gains Tax (CGT), negative gearing, and tenancy legislation, many investors are feeling hesitant.

March Rental Performance by Suburb:

In the unit market, South Perth (up 7.7% to $700) and Scarborough (up 6.0% to $795) led the charge. Despite these high numbers, the actual number of properties available for rent fell by 11.1% year-on-year. For tenants, speed is essential; properties in Hilbert are leasing in a median of just eight days.

Sales Market: Prices Hit New Peaks

While some buyers are showing signs of hesitancy due to interest rates and inflation, the sales market remains incredibly robust. The median house price in Perth has climbed to $880,000, a 13.5% increase year-on-year. Even more striking is the unit market, which has seen a 20% surge over the last 12 months, bringing the median to $630,000.

Where is the growth happening?

• Houses: Suburbs like Jindalee and Bayswater saw monthly growth of over 3%.
• Units: North Perth recorded a massive 7% jump in just one month.

The “Speed” of the Market:

If you are selling, the conditions are near-perfect. Houses are selling in a median of just nine days. In some pockets, like Yokine, homes are moving in as little as two days. This speed reflects a high-intent buyer pool that is ready to act the moment the right property hits the portal.

A Glimmer of Hope: Listings are Rising

There is some “breathing room” on the horizon for buyers. Active listings rose to 3,394 at the end of March—a 23.6% increase from February. While this is still significantly lower than historical averages (down 31.3% from March 2025), the seasonal influx of new listings has given buyers a slightly wider selection.

However, we expect this to be short-lived. With April’s school holidays and multiple public holidays, new listing activity typically cools off, meaning the window of “extra choice” may be narrow.

The Holdsworth Perspective: What Should You Do?

For Investors:

The current climate is complex. While the threat of legislative change is frustrating, the fundamental supply-and-demand metrics in Perth remain some of the strongest in the country. With a vacancy rate that remains incredibly tight and rents still rising, the yield remains attractive for those who can navigate the financing.

For Sellers:

You are in a position of strength, but “buyer hesitancy” is a real factor. High-quality marketing and a realistic pricing strategy are essential to ensure you capture the serious buyers before they are spooked by further interest rate discussions or global news.

For Buyers:

The 23.6% increase in listings is your opportunity. Use this period of relative “choice” to secure a property before the winter slowdown.

A Note on Policy: At Holdsworth Real Estate, we echo the calls for caution regarding taxation changes. Stable investment environments are what create stable housing markets. We encourage our clients to stay informed and reach out to us for a personalized assessment of how these potential changes might affect their portfolios.

Perth is a resilient city, and our property market reflects that. Even with global pressures, the desire for the West Australian lifestyle remains the ultimate driver of value.

Ready to make your move in this fast-paced market? Contact the team at Holdsworth Real Estate today for an up-to-date appraisal or to discuss your investment strategy.