How to Maximise Rental Returns in Perth

Rental return depends on three things working together: the rent you achieve, the weeks the property is occupied, and what it costs to hold. In Perth’s 2026 market, with a vacancy rate of 1.9% and median dwelling rents of $725 a week, most landlords lift returns by pricing from evidence, keeping good tenants longer and spending only on upgrades with a clear payback (REIWA vacancy; REIWA August 2026).

What is a good rental yield in Perth?

Gross rental yield is annual rent divided by the property’s value. At REIWA’s August 2026 medians, a Perth house renting at $750 a week on a $960,000 value earns about $39,000 a year, a gross yield of roughly 4.1% (REIWA). Units usually yield more and prestige houses less: in Floreat, where the median house rent is $1,300 a week and the median house price $2.5 million, the gross yield is about 2.7%. Net yield, after costs, is what you actually keep.

How do you set the right rent?

Use recently leased comparable homes, not advertised rents. A home priced at the evidence leases faster and attracts more applicants to choose from. Our rental appraisal guide explains how achievable rent is assessed.

How much does vacancy cost?

Every vacant week costs a full week’s rent. At $725 a week, two extra weeks of vacancy costs $1,450, which takes a long time to recover from a slightly higher asking rent. Perth homes leased in a median 15 days in August 2026 (REIWA), so a property that sits for weeks is usually overpriced or poorly presented.

Which improvements increase rent?

• reverse-cycle air conditioning
• a dishwasher and updated kitchen fittings
• secure parking and storage
• fresh neutral paint and good window coverings
• low-maintenance gardens and outdoor living space

Test each spend: divide the cost by the realistic weekly rent increase to get the payback period, and compare it with what that money earns elsewhere.

Does allowing pets increase rent?

Pet-friendly terms widen your applicant pool. WA law already requires landlords to respond to pet requests within 14 days and allows a pet bond of up to $350 (Consumer Protection WA). See our guide to pets in rental properties.

How often should you review the rent?

In WA, rent can only be increased once every 12 months (Consumer Protection WA). Review it against current evidence at each opportunity. A good tenant at fair market rent is often worth more than a higher rent that triggers a move, which brings leasing fees, vacancy and risk.

Which holding costs should you review each year?

• landlord insurance premiums and cover (see our landlord insurance guide)
• strata levies and special levies
• maintenance patterns that point to a bigger problem
• management fees against the service you receive
• loan interest rate and structure, with your broker

Is it time to hold, improve or sell?

Once a year, compare the property’s net return with its growth prospects and your goals. Sometimes a targeted upgrade is the best move; sometimes selling and reinvesting is. Our annual asset review gives you a current rental appraisal and the numbers to decide. Our fee schedule is published, and you can request a rental appraisal at any time.

Frequently asked questions

What is the average rental yield in Perth?

At REIWA’s August 2026 medians, a typical Perth house returns a gross yield of roughly 4.1%. Units generally yield more and prestige houses less.

How often can I increase the rent in WA?

Once every 12 months, and only as allowed by the lease.

What upgrades add the most rent?

Air conditioning, kitchen updates, secure parking and storage, and fresh presentation tend to have the clearest payback.

Is it better to keep a good tenant or raise the rent?

Often keeping a reliable tenant at fair market rent earns more, because a vacancy and re-letting can cost several weeks of rent.