Beverley WA Property Investment

## 1. Investment Verdict AVOID — Beverley scores 41.0/100 on the investment scorecard. The single most important number is the 3.4% gross rental yield. That is below the 4% threshold most experienced investors target for regional WA. Combined with a tiny population of 1,109 and 80% owner-occupiers, this suburb offers limited rental demand and weak capital growth potential.

## 2. Market Overview - Median house price: $430,000 - Median unit price: $148,450 - 1-year price growth: 7.0% - 5-year CAGR: 3.4% per year - 3-year growth forecast: 13.5%

Beverley sits in a stable market cycle. The 7.0% one-year growth looks reasonable, but the 5-year CAGR of 3.4% tells the real story — this is slow, steady growth, not a boom town. Days on market data is unavailable, but the stable cycle suggests balanced conditions. Buyers have negotiating power here. Sellers cannot demand premium prices in a market with 80% owner-occupiers and limited buyer pool.

## 3. Rental Market - Vacancy rate: 2.7% - Median weekly rent: $280/week - Gross rental yield: 3.4% - Rental demand: Moderate

A 2.7% vacancy rate is technically below the 3% equilibrium point, suggesting a tight rental market. But the moderate demand rating and 80% owner-occupier rate mean the rental pool is small. With only 1,109 residents, the absolute number of renters is tiny. The 3.4% yield is below what most investors need to cover holding costs, especially with interest rates above 6%. This yield does not stack up against regional WA alternatives like Frankland River (2.1% yield) or Lake King (3.1% yield), though those are also weak.

## 4. Short-Term Rental Opportunity - Median nightly rate: $165/night - Occupancy rate: 26% - Estimated annual revenue: $15,653 (165 x 0.26 x 365)

A 26% occupancy rate is catastrophic for short-term rentals. That means the property sits empty 74% of the year. Annual revenue of roughly $15,653 is well below the $14,560 you would earn from long-term renting ($280 x 52 weeks). Long-term rental is clearly the better option here. STR is not viable in Beverley with current occupancy levels.

## 5. Infrastructure & Growth Drivers - No major projects on file — zero infrastructure pipeline - Transport: Beverley station 0.3km away (AvonLink line to Perth) - Employment base: Agriculture and local services - Unemployment: 6.3% — above the national average of ~3.5%

The lack of major infrastructure projects is a red flag. No new roads, hospitals, industrial zones, or residential developments are planned. The only positive is the train station 300 metres away, providing access to Perth (roughly 90 minutes). The 6.3% unemployment rate signals a weak local economy. Without new employment drivers, population growth will remain stagnant.

## 6. Bull Case If conditions improve, the upside scenario is modest: - The 3-year growth forecast of 13.5% would push median house prices to approximately $488,000 by 2027. - If vacancy drops below 2%, rents could rise to $300/week, lifting yield to 3.5%. - A new agricultural or logistics project could boost local employment and population.

But even in the best case, this is a slow-growth regional town. The 5-year CAGR of 3.4% suggests you would earn roughly $14,620 per year in capital growth on a $430,000 property — before costs. That is below inflation-adjusted returns for most Australian property markets.

## 7. Risks - Vacancy risk: The 2.7% vacancy rate is stable, but with only 1,109 residents, a single employer closing could spike vacancies to 5%+ quickly. - Single-employer dependency: Agriculture dominates. A drought or commodity price crash would devastate local incomes and property demand. - Supply pipeline: Low supply is actually a positive here — but it reflects lack of demand, not constrained supply. - Rate sensitivity: With a 3.4% yield, any interest rate above 6% means negative cash flow. A $430,000 loan at 6.5% costs $27,950/year in interest alone, while rent brings in only $14,560. That is a $13,390 annual shortfall before other costs. - Distance from CBD: The data explicitly flags this as a key risk. Beverley is approximately 130km from Perth CBD — well beyond commuter range for most workers.

## 8. The Play - Entry range: $380,000–$430,000 (below median if possible) - Minimum yield to target: 4.5% — you need this to cover holding costs. Current yield is 3.4%. - Watch signals: Population growth above 2% per year, new infrastructure announcements, unemployment dropping below 4%. - Recommended strategy: Do not buy. If you already own, hold and wait for the 13.5% forecast growth over three years, then exit. If you are looking to enter, find a better suburb with higher yield and stronger growth drivers. Frankland River offers a lower entry price ($385,000) but even worse yield (2.1%). None of the comparable suburbs stack up.

Bottom line: Beverley is a sleepy agricultural town with weak rental returns, no infrastructure pipeline, and limited capital growth prospects. The numbers do not support an investment case today.

This analysis is for informational purposes only and does not constitute financial, legal, or investment advice. Seek professional advice before making investment decisions.