If you are looking for investment in Perth property you must first decide whether you looking for return on capital gain or rental income.
If we consider the return on rental income we will see that units are offering higher return than houses mainly due to two facts: one, that they are cheaper than houses and two, because there is a high demand for them owing to rental income. The most lucrative location for rental property in Perth is the inner northern suburbs. If you are targeting to invest here, your returns will be subject to your investment as highlighted below:
For investment in units under $450,000
If you are willing to make a relatively small investment in Perth property you should invest in the northern inner suburbs of:
- West Leederville
Also the inner southern suburb will be a good option for you as these places will provide the highest return on your investment.
For investment in units between $450,000 and $550,000
If you are willing to invest in this price range East Perth is the best option for you as it provides you with the convenience of being located in a free transport zone near the river and CBD, while providing an inner-city lifestyle. Here you will find a large stock of old style apartments at a very cheap rate, along with inner city units with resort facilities.
For investment in units over $550,000
If you are willing to invest in this range West Perth will best serve your interests. It is a highly desirable area with a cluster of resource companies and is very popular for executive rentals. It has the added advantage of being located close to CBD and in the boundary of a free transport zone. Here, you can invest in two bedroom apartments and be sure to get a good return on your investment.
Now, let us consider investment in Perth property with the aim to earn on capital gains. You only do this if you are comfortable with holding onto your assets over a long term basis. Having said this, let us consider some potential areas in this regard:
Your investment will do well here because it is a popular tourist destination and is considered as one of the most affordable beachside suburbs. Major redevelopment is going on in this area which will add to the value of your investment here.
Bentley and Wilson
Your investment here will prove to be of value since it is close to Curtin University guaranteeing both decent rental returns and a possible rise in land value
Bull Creek and Leeming
These are promising locations worth consideration for your investment mainly due to their close proximity to the new Fiona Stanley Hospital which is nearing completion.
Your investment here will prove to be of great value here as there is a major project underway in East Perth which seeks to transform it into a modern waterfront community.
The above mentioned details will help you gain the most on your investment in Perth property.