How Perth’s Changing Market Affects Perth Property Investors Looking To Sell

Monday, 19th of October 2026

Plenty of Perth investors are asking if it’s a good time to sell. Between the 2026 Federal Budget, the noise around negative gearing and capital gains tax, and a sales market that has clearly moved over the past year, it is a fair thing to be weighing up. 

For most investors, our view has not changed. Perth is still one of the strongest rental markets in the country, and for a lot of owners, holding a well-managed property remains the better call. We set out the case for that in our piece on Why selling your investment property now could be a costly mistake. 

That said, circumstances can change and some investors are looking to move before the proposed tax changes take effect on 1 July 2027. If you are in that position, the way you go about the sale, and the timing of it, has a real bearing on what you end up with.  

First, Make Sure Selling Is Actually the Right Move 

Before you do anything, check that the decision holds up. A lot of what is pushing people to sell at the moment is headline noise rather than anything fundamental, and choices made in a hurry rarely age well. 

Take an honest look at how your property is performing and what the proposed reforms would mean for your situation specifically. We broke the tax question down in our guide to the Negative gearing and capital gains tax changes, and a lot of owners come away realising they are less exposed than the headlines suggested. 

If you have done that and selling still stacks up, then it comes down to how and when you sell. 

Changing Perth Buyers Affect How You Sell 

The Perth sales market is not the same as it was a year ago. Most of the buyer demand now is coming from owner-occupiers and first home buyers, helped along by population growth and the fact that Perth still looks affordable next to the eastern states. Investor demand has eased off, with those buyers sitting on the same budget and tax questions you are. 

The practical upshot is straightforward. Homes that suit an owner-occupier or a first home buyer are moving well. Tenanted properties pitched mainly at other investors are having a tougher time. To reach the buyers who are out there competing, you need to be able to offer them a home they can see themselves living in. 

Why Vacant Possession Matters More Than Ever 

Vacant possession means selling with no tenant in place, so the buyer can move in or start renovating once settlement goes through. The alternative is selling with a tenant still in the home on an existing lease. 

Right now that distinction carries real weight. Owner-occupiers and first home buyers, who make up most of the active buyers, want somewhere they can move into. A tenanted property with a lease attached cuts your audience back mainly to investors, and that is the group that has gone quiet. 

A vacant, well-presented home is also easier to sell. It shows better at home opens and photographs better, and buyers can picture themselves living there. Selling with vacant possession puts your property in front of the people who are competing for homes in Perth. 

 

The Lease Decision That Catches Owners Out 

This is the one that most often costs people money, and it is why we push owners to talk to us early. 

Under WA rental law, once a tenant signs a new fixed-term lease, you generally cannot end the tenancy just because you want to sell with vacant possession. So renewing or extending a lease can shut you out of the strongest pool of buyers for the length of that term. 

If there is any chance you will sell in the next six to twelve months, do not sign a renewal before you have looked at your options. A quick chat with your property manager first can stop you being locked in at the wrong time. Every tenancy is a bit different, so it is worth getting advice on your own situation before you commit. 

The 2026 Budget and the 1 July 2027 Changes 

For some owners, the proposed changes to negative gearing and capital gains tax from the 2026 Federal Budget are the whole reason selling is on the table. Those changes are slated to start on 1 July 2027, and they still have to pass through Parliament. 

Our take has not changed here. Do not sell in a panic over a headline. We have gone through what the proposals would mean, and why a lot of owners are less affected than they expect, in our Negative gearing guide. 

If you have had proper advice and decided that selling before the changes makes sense for you, give yourself time. Planning the exit well before the end of the 2026-27 financial year means you can prepare the property and run a proper campaign instead of scrambling to beat the date. 

 

How to Sell an Investment Property the Right Way 

Selling an investment property is a different job to selling a family home. There is a tenant in the picture, a lease to work around, and rental income to protect until settlement. Done in the right order, it is smooth for everyone. This is roughly how we approach it. 

1. Start with the tenancy end date. Everything else keys off when your tenant is due to leave, so this is where we begin. 

1. Get moving early, ideally around three months out. That gives everyone time to plan and communicate, and it keeps you out of a last-minute rush. 

1. Prepare the property and lock in photography ahead of time. Presentation is what wins owner-occupier buyers over, so it is worth the planning. 

1. Handle the tenant vacate properly. Clear, respectful communication keeps your tenant onside and protects your rental income until they hand the keys back. 

1. Take it to market with vacant possession. With the home empty and presented well, you can run a focused campaign and aim to sell inside the first couple of home opens. 

You can still test the waters off-market while a tenant is in place, but in this market the bigger opportunity is a well-timed vacant-possession campaign aimed at owner-occupiers and first home buyers. 

How Selling Perth Property Handles the Sale 

When selling is the right move, you are not handing your property to a stranger. Selling Perth Property (SPP) is our own sales arm, set up specifically for investors and run by property sales specialist Grace Foley. 

The SPP team already knows how property management works and deals directly with your property manager, so moving from managing your property to selling it is a smooth handover. They know how to work around a tenant, keep your rental income ticking over during the campaign, and get the property in front of the right buyers. It is the same award-winning team you already deal with, turned to the sale. 

We go into SPP and how it works in our earlier article, Introducing Selling Perth Property, if you want the detail. 

 

Frequently Asked Questions 

Should I sell my investment property in Perth right now? 

For a lot of investors, holding a well-managed Perth property is still the stronger long-term play, and we would always want you to look at the numbers first. But if your circumstances or the proposed 2027 tax changes point you towards selling, then it comes down to selling well. Start with a rental and market review so you are deciding with the full picture in front of you. 

Can I sell my property with a tenant still living in it? 

You can, but it narrows your buyers mostly to investors, and that group has gone quiet lately. Selling with vacant possession opens the property up to owner-occupiers and first home buyers, who are the more active buyers at the moment. 

Should I extend my tenant’s lease if I might sell? 

Think twice before you do. Locking a tenant into a new fixed term can stop you selling with vacant possession until that term runs out. If selling is even on the cards, talk to your property manager before you renew. 

How early should I start planning a sale? 

Around three months out from your tenancy ending is the sweet spot. It leaves time to prepare the property, sort photography, keep your tenant informed, and time the campaign for a strong result. 

Thinking About Selling? Let’s Map Out Your Timing 

You do not need a final decision to have the conversation. If you are still weighing it up, the useful first step is a clear read on where your property sits. Request a rental and market review or get in touch with our team, and if selling turns out to be the right move, we will work with you and Selling Perth Property to plan the timing. 

Our award-winning team is here to help you make the call with clear numbers behind you, and to handle the sale properly if that is where you land.