The WA regional property markets still attracting investors

While investor purchasing activity in Perth declined following the taxation changes announced in the Federal Budget, the response varied in Western Australia’s regional centres. Some have seen a decrease in activity, while it continues to be strong in others.

Looking at price growth, Kalgoorlie-Boulder was the top performing regional centre in the June 2026 quarter. Its median house sale price rose 9.4 per cent to $484,500. Its median rent price rose 0.7 per cent over the quarter to $700 per week.

Investment activity has remained strong in Kalgoorlie-Boulder following the Budget. In part, this was due to a small flurry of activity ahead of the ban on SMSF borrowing for residential investment properties.

Investors overall, however, continue to look to the region for its affordable homes, the opportunity for properties to be positively geared, and high rental yields.

Local REIWA members report increased interest in the area from investors around WA and across the nation.

The Karratha regional centre also saw a short-term increase in SMSF purchasing activity after the Federal Budget.

More broadly, investors continue to look to the Karratha market for cash flow opportunities, with homes in the area achieving high weekly rents. In the June quarter, the median weekly rent for the Karratha regional centre was $1,500, the highest in the state.

Investors are showing the strongest interest in the relatively new suburbs of Baynton and Nickol West. Members report investors tend to seek homes built after 2005 and show a preference for houses over units.

Demand from mining companies and government departments for accommodation for their staff continues to support strong rent price growth.

The Broome regional centre also continues to attract investors but interest is not as strong as it was six months ago. It is also possible to positively gear investments in the region and some REIWA members are seeing increased enquiry about these opportunities from buyer’s agents and investors.

While the median weekly rent price is high, sitting at $1,100 in the June quarter, it was unchanged from the March quarter and declined year-on-year. The Broome regional centre has a tight rental market, with a low vacancy rate, and new investors can be confident they will find a tenant quickly.

Members in the Bunbury regional centre expected the taxation changes would completely deter investors, but they did not. They too saw increased SMSF purchases, and investors continuing to look at how best to structure their purchases. East coast investors also remain active.

Properties priced below $700,000 are attracting the most interest from investors.

On the rental front, the median weekly rent declined 3.3 per cent in the June quarter to $658. Affordability is a growing issue for tenants, with demand strongest for homes priced below $700 per week. A number of projects in the region have been completed and demand for executive rentals has eased.

While Port Hedland was the top performing regional centre for rent price growth in the June quarter, with its median weekly rent rising 26.3 per cent to $1,200, members say investors have taken a step back from the market. However, the region offers very strong yields and positive gearing opportunities, and it is expected investors will return to the market once they feel more confident about the taxation changes.

Albany was the top performing regional centre for price growth in the year to June, with its median house sale price rising 23.4 per cent to $790,000. Investor activity has declined in the region in the wake of the taxation changes.

The median weekly rent price increased 4.5 per cent over the quarter to $700. Members say the rental market remains tight and homes priced up to $800 per week are seeing strong interest. Affordability is an issue, with softer demand over $800 and much less interest for properties priced over $1,000 per week.

The Busselton regional centre rental market eased in the June quarter, with the median weekly rent price declining 5.9 per cent to $800, but members reported that activity has picked up since then and the vacancy rate has tightened.  

Despite robust demand for rental properties and the potential to achieve strong rent prices, the numbers are a strong consideration for investors. With a median house sale price of $1,097,500, Busselton is WA’s most expensive regional centre and yields are much lower than in areas such as Port Hedland, Karratha, Broome, and Kalgoorlie-Boulder.

Despite being a very affordable market, with a median house sale price of $623,600 at the end of the June quarter, the Geraldton regional centre has seen investor activity decline. There was a small rush of SMSF purchases but that has since ceased.

REIWA members say the rental market offers good opportunities. The vacancy rate is low and rental properties are in high demand, with lots of projects bringing people to the region. The median rent price increased 9.1 per cent in the June quarter to $600 per week and members feel there is still scope for more growth, particularly if investor activity remains low.

Tourism but not the tenancies

While the Esperance regional centre recorded the strongest rent price growth over the year, with its median weekly rent increasing 38.3 per cent to $650, investor interest is low.

There is very strong demand for rental properties, but Esperance is not as attractive to investors as some of the other regional markets. You don’t see the level of company leases that you do in Port Hedland, Karratha and Broome, so, you are unlikely to get a higher-paying tenant.

And when compared to neighbouring Kalgoorlie-Boulder, its median house sale price is higher, yet the median weekly rent price is lower. For investors looking at the figures, Kalgoorlie-Boulder is a more appealing prospect.

WA’s regional markets continue to be driven by a range of factors and they respond to change in different ways.

The regional centres can provide good investment opportunities but it is important to understand what is supporting the market and what tenants are seeking.