• Perth apartment supply overview

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    Perth apartment supply overview - reiwa.comThe Perth High Density Apartment Report published by Master Builders and Y Research in March 2015 found 121 apartment projects under construction, approved or being designed in 19 suburbs within five kilometres of the CBD.

    If and when completed, these projects could add 10,685 apartments to the inner city market by 2020 - a 56 per cent increase on current supply.

    The report found there were 531 buildings with 19,064 apartments currently within the study area, with 51.5 per cent of it built in the past 15 years, 731 apartments available to rent at the end of January, and 620 for sale.

    The apartment vacancy rate was 3.8 per cent at the end of January.

    Proportions

    Apartments count for more than 20 per cent of new dwelling approvals in WA and the supply of inner city apartments has increased 34 per cent since 2010.

    Across the Perth metropolitan area, new apartment supply is expected to increase by 2,855 this year and 3,800 new apartments will be built in 2016.

    The report found about 59 per cent of apartments under construction in Perth are two bedroom, of which 85 per cent have two bathrooms, with three bedroom construction down to five per cent and one bedroom apartments about 38 per cent of new supply.

    Price gap

    Research by property economists Urbis in early 2015 found a $107,750 gap between Perth’s median house and unit prices.

    Urbis says 17 per cent of all Perth dwelling approvals in 2014 were for apartments and believes buyer trends will be similar to Brisbane where the apartment proportion of all new dwellings increased from 18 per cent five years ago to around 44 per cent in 2014.

    Foreign buyers made up just seven per cent of Perth apartment buyers in the March quarter 2015, at which time Urbis calculated 4,279 apartments were under construction.

    Multi-residential approvals

    Approval data shows the proportion for detached housing such as flats, units, townhouses and apartments in Perth stood at 27 per cent by the end of 2014, up from 16 per cent in 2009, but not yet matching the record level of 29 per cent in 2008.

    In greater Perth during 2014, there were 20,071 housing and 7,473 non-housing approvals.

    During 2014, two storey semi-detached housing approvals increased 32.6 per cent to 1,185, two storey apartments increased 34.5 per cent to 1,138, and four storey or higher apartment approvals were up 60 per cent to 3,172.