As we reach the midpoint of the 2025–26 financial year, we’re taking the opportunity to share a snapshot of how the Perth rental market has performed and how Blackburne Property Management (Blackburne) has supported property owners across the first six months of FY26.

This update provides a high-level overview of portfolio performance, leasing conditions and the key factors influencing results to date, along with an outlook for the remainder of the financial year.

What Has the Perth Rental Market Done in the First Half of FY26?

The Perth rental market has remained tight throughout the first half of FY26, with tenant demand continuing to outpace available supply across most Perth metro suburbs. Vacancy rates across Perth have generally remained around 2.5%-3% which is an increase from the rates below 1% seen in 2024 and earlier 2025.

While rental growth has moderated from the sharp increases seen last year, rents have remained elevated, with many suburbs recording continued upward movement. Population growth, affordability pressures in the sales market, and limited new rental stock have all contributed to ongoing demand for quality rental homes.

How Has the Blackburne Portfolio Performed in H1 FY26?

Across the first six months of FY26, Blackburne managed a portfolio of approximately 1,100 properties, representing 3% increase compared to the previous financial year.

Our portfolio continues to be predominantly made up of apartments, houses and units, with consistent tenant demand across a wide range of price points and locations.

Leasing performance and demand

Leasing conditions across the Blackburne portfolio remained strong throughout the first half of the year.

Key leasing highlights include:

• Average days on market: 8
• Average number of applications per property: 9
• Average vacancy period across the portfolio: 1.3%

These results reflect sustained tenant demand and a proactive leasing approach focused on accurate pricing, strong presentation and targeted marketing.

Rental performance and reviews

Rental performance across the Blackburne portfolio remained solid in H1 FY26, with rent reviews carefully managed to balance market conditions, tenant retention and long-term investment outcomes.

During the first half of the financial year:

• 34% of properties underwent a rent review
• Average rent adjustment was $58

As market conditions begin to stabilise, our focus has remained on strategic, evidence-based pricing rather than short-term increases, supporting both rental income and tenancy stability.

Vacancy management and tenant retention

Tenant retention continues to play a key role in reducing vacancy and minimising costs for property owners. Across the Blackburne portfolio:

• Average vacancy rate sat at approximately 1.3%
• The majority of lease renewals were secured 63 days prior to lease expiry.

Maintaining strong communication, fair rent reviews, and prompt maintenance responses has helped support stable tenancies during the period.

Maintenance and asset protection

Protecting the long-term value of our clients’ properties remains a core focus.

In the first half of FY26:

• Total maintenance requests managed: 2004
• Average response or approval timeframe: 2 days
• Key focus areas included safety compliance and seasonal maintenance scheduling.
• Proactive maintenance continues to reduce the likelihood of larger repair costs, minimise disruption to tenants, and support property condition over time.

What Factors Are Driving the Perth Rental Market in 2026? 

Several factors contributed to market and portfolio performance during the first half of FY26, including:

• Continued population growth in Western Australia
• Ongoing shortage of rental supply
• Affordability constraints in the sales market keeping demand in rentals

While conditions are beginning to normalise compared to previous years, these underlying drivers remain relevant heading into the second half of the financial year.

What Is the Outlook for the Perth Rental Market in H2 FY26? 

Looking ahead, the Perth rental market is expected to remain relatively tight through the remainder of FY26, with more balanced rental growth as supply gradually improves and affordability pressures continue to influence demand.

For property owners, the second half of the financial year is likely to favour:

• Strategic rent reviews informed by local market evidence
• Maintaining property presentation and condition
• Proactive maintenance planning
• Active property management to minimise vacancy and tenant turnover

If you have questions about your property’s performance, upcoming rent reviews, or maintenance planning for the remainder of FY26, your Blackburne property manager is available to assist. You can also read our guide to WA rent reforms 2026 for a full overview of the tenancy law changes affecting Perth landlords this year. 

Supporting your investment

If you have questions about your property’s performance, upcoming rent reviews or maintenance planning for the remainder of FY26, your Blackburne property manager is available to assist.

At Blackburne Property Management, our focus remains on delivering informed, proactive management to support strong outcomes in both changing and stabilising market conditions.