As seen in Australian Property Investor (API) Magazine
Perth’s relative affordability and good yields continue to attract the interest of investors. Recently, we looked at the unit market and saw how different unit types delivered mixed outcomes for investors. This month, we’ve turned our attention to houses.
While units usually provide a better yield than houses, historically houses lead the way when it comes to capital growth. However, in the year to May 2025, median unit sale price growth exceeded median house sale price growth, 21 per cent, compared to an 18 per cent increase for houses. However, over the past five years, houses saw much stronger growth, with median sale prices increasing 63 per cent, while units rose 39 per cent.
Yields for houses eased over the past 12 months, from 4.9 per cent in May 2024 to 4.5 per cent. Unit yields also declined over the same period, from 6.5 per cent a year ago to 6.2 per cent in May 2025. This reflects strong sale price growth compared to an easing in rent price growth.
This month, we’ve broken down the house market by type* and number of bedrooms to see what is currently delivering the best results for investors.
| | Houses
Year to May 2025 | Units
Year to May 2025 | Houses
Year to May 2024 | Units
Year to May 2024 | Houses
Year to May 2020 | Units
Year to May 2020 |
| Annual median sale price | $780,000 | $535,000 | $661,000 | $442,000 | $478,000 | $385,000 |
| Median rent price | $670 | $640 | $620 | $550 | $370 | $330 |
| Yield | 4.5% | 6.2% | 4.9% | 6.5% | 4.0% | 4.5% |
Capital growth
All house types saw capital growth over the past year.
Two-bedroom houses and duplexes recorded the highest annual increases. Duplexes with two bedrooms rose 22.3 per cent to a median sale price of $615,000, while two-bedroom houses increased 21.2 per cent to $665,000.
Over a five-year period, the strongest growth was seen in six-bedroom houses, which doubled in value, up 100 per cent to $1,550,000.
Median annual sale price
| | Year to May 2025 | Year to May 2024 | Year to May 2020 | 1-year change | 5-year change |
| Duplex 2 bed | $615,000 | $503,000 | $370,000 | 22.3% | 66.2% |
| Duplex 3 bed | $665,000 | $558,788 | $387,500 | 19.0% | 71.6% |
| House 2 bed | $800,000 | $660,000 | $525,000 | 21.2% | 52.4% |
| House 3 bed | $720,000 | $600,500 | $429,000 | 19.9% | 67.8% |
| House 4 bed | $843,000 | $722,000 | $500,000 | 16.8% | 68.6% |
| House 5 bed | $1,275,000 | $1,055,000 | $742,500 | 20.9% | 71.7% |
| House 6 bed | $1,550,000 | $1,300,000 | $775,000 | 19.2% | 100.0% |
Rent price growth
Median weekly rents increased for all house types over the 12 months to May 2025.
Three-bedroom houses and duplexes recorded the most median rent price growth in the past year. Three-bedroom duplexes rose 12.7 per cent to $620 per week, and three-bedroom houses increased 12.1 per cent to $650 per week.
From May 2020 to May 2025, median rents for all house types rose significantly. Two and three-bedroom houses recorded the largest increases, followed closely by two and three-bedroom duplexes.
Median weekly rent
| | Year to May 2025 | Year to May 2024 | Year to May 2020 | 1-year change | 5-year change |
| Duplex 2 bed | $525 | $480 | $280 | 9.4% | 87.5% |
| Duplex 3 bed | $620 | $550 | $330 | 12.7% | 87.9% |
| House 2 bed | $580 | $535 | $300 | 8.4% | 93.3% |
| House 3 bed | $650 | $580 | $340 | 12.1% | 91.2% |
| House 4 bed | $700 | $660 | $410 | 6.1% | 70.7% |
| House 5 bed | $880 | $850 | $550 | 3.5% | 60.0% |
| House 6 bed | $1,075 | $1,000 | $600 | 7.5% | 79.2% |
Days on market
While leasing times have increased slightly for most house types in the past year, all remain well below 2020 levels.
Two-bedroom houses recorded the fastest leasing time in the year to May 2025, with a median time of 14 days. Next were two-bedroom duplexes, which leased in a median of 15 days and three-bedroom houses, with a median leasing time of 16 days.
Median time to lease (days)
| | Year to May 2025
| Year to May 2024
| Year to May 2020
| 1-year change
| 5-year change
|
Duplex 2 bed
| 15 | 12 | 33 | 3 | -18 |
Duplex 3 bed
| 17 | 13 | 32 | 4 | -15 |
House 2 bed
| 14 | 14 | 28 | 0 | -14 |
House 3 bed
| 16 | 15 | 29 | 1 | -13 |
House 4 bed
| 19 | 17 | 30 | 2 | -11 |
House 5 bed
| 20 | 21 | 31 | -1 | -11 |
House 6 bed
| 21 | 17 | 39 | 4 | -18 |
Rental yield
Three-bedroom duplexes recorded the strongest yield in the year to May 2025 at 4.8 per cent, followed by three-bedroom houses, with a yield of 4.7 per cent.
Rental yields eased for all house types over the past 12 months. Compared to May 2020, yields improved for most house types, but were unchanged for four-bedroom houses and declined for five and six-bedroom houses.
Yield – Year to May 2025
| | Duplex 2 bed
| Duplex 3 bed
| House 2 bed
| House 3 bed
| House 4 bed
| House 5 bed
| House 6 bed
|
Annual median sale price
| $615,000
| $665,000
| $800,000
| $720,000
| $843,000
| $1,275,000
| $1,550,000
|
| Rent | $525
| $620
| $580
| $650
| $700
| $880
| $1,075
|
| Yield | 4.4%
| 4.8%
| 3.8%
| 4.7%
| 4.3%
| 3.6%
| 3.6%
|
Yield – Year to May 2024
| | Duplex 2 bed
| Duplex 3 bed
| House 2 bed
| House 3 bed
| House 4 bed
| House 5 bed
| House 6 bed
|
Annual median sale price
| $503,000
| $558,788
| $660,000
| $600,500
| $722,000
| $1,055,000
| $1,300,000
|
Rent
| $480
| $550
| $535
| $580
| $660
| $850
| $1,000
|
Yield
| 5.0%
| 5.1%
| 4.2%
| 5.0%
| 4.8%
| 4.2%
| 4.0%
|
Yield – Year to May 2020
| | Duplex 2 bed | Duplex 3 bed | House 2 bed | House 3 bed | House 4 bed | House 5 bed | House 6 bed |
| Annual median sale price | $370,000 | $387,500 | $525,000 | $429,000 | $500,000 | $742,500 | $775,000 |
| Rent | $280 | $330 | $300 | $340 | $410 | $550 | $600 |
| Yield | 3.9% | 4.4% | 3.0% | 4.1% | 4.3% | 3.9% | 4.0% |
While several house types delivered strong results for investors across the various categories, the two and three-bedroom houses and duplexes were consistently among the top performers.
It is important to remember this is general information. Investors should do their own research and consider sale and rent price growth, rental yield and overall rental demand for a particular property type and area, and how that suits their investment strategy. Conditions vary from suburb to suburb, so speaking to a local REIWA agent about market activity can help investors make a more informed decision.
* Definitions
House: A freestanding dwelling on its own block of land.
Duplex: One of two dwellings that share a common wall/s.
Suzanne Brown
REIWA President
