What do birds and people have in common?
Birds migrate in search of better resources, an abundance of food and safer habitats. People migrate for much the same reason. They are searching for a place to live that offers them better amenities, an abundance of lifestyle and security. However, whether we’re talking about birds or people, these environments need to be established before they will consider migrating. With borders now open with little to no restrictions, there is a lot being done to attract migrants to our great state. The latest data from the Australian Bureau of Statistics shows that we have the largest level of migration on record for the end of 2021 into the beginning of 2022. This is attributed to WA still ranking highly in terms of housing affordability, above average salary, COVID Safety record and strong economy. There’s just one catch … with Perth still having record low housing and rental stock availability, where are all of these people going to live?
One way to increase housing stock is to build new homes. Yes, this takes time but houses don’t just magically appear overnight. Even the state government is looking at using the newly built (and now somewhat redundant) quarantine facility in Bullsbrook to try and alleviate the housing crisis in the short term. REIWA states that “19,500 homes a year to keep up with population growth, new demolitions and to address the existing shortage” and that we are “facing a shortage of about 20,000 homes within four years”. Although there has been some slow-down in the eastern states markets, the Perth property market is still showing signs of growth. It’s simply supply and demand; with limited supply, demand is greater which is driving up both median house prices and rents.
By getting investors back into the market now, we can get continue to bring new home stock to the market and attract new people to our state.