Hilbert WA Property Investment

## 2. Market Overview The median house price in Hilbert, WA is $805,000, while the median unit price is $744,628. The market has seen a significant 1-year price growth of 13.0%, indicating a strong demand for properties in the area. The 5-year Compound Annual Growth Rate (CAGR) is 1.2%/yr, which is relatively modest but still positive. The 3-year growth forecast is 13.5%, suggesting continued strong growth. With a gross rental yield of 4.4% and median weekly rent of $680/wk, the market signals a favorable condition for buyers looking for rental income, but sellers may find it challenging due to the high demand and limited supply.

## 3. Rental Market The vacancy rate in Hilbert, WA is a very low 0.9%, indicating extremely high demand for rentals. The median weekly rent is $680/wk, and the gross yield is 4.4%. The rental demand is classified as "very high," which is attractive for investors. With an owner-occupier rate of 75%, the suburb has a strong community base, which can contribute to rental stability. For investors, the low vacancy rate and high rental demand make Hilbert an appealing option for generating consistent rental income.

## 4. Short-Term Rental Opportunity While the median nightly rate for short-term rentals in Hilbert, WA is $158/night, the occupancy rate is not available. Without occupancy data, it's challenging to estimate the annual revenue accurately. However, considering the strong demand for housing and the proximity to transport links like the Armadale station (3.9km away), there could be potential for short-term rentals, especially if the occupancy rate is high. For now, long-term rentals seem more straightforward and potentially more lucrative given the very high demand and low vacancy rate.

## 5. Infrastructure & Growth Drivers The METRONET (Perth Rail Expansion) is under construction, which will likely enhance transport links and potentially drive growth in the area. The proximity to Armadale station (3.9km away) already provides residents with relatively easy access to public transport. The population of Hilbert, WA is 4,165, and with a moderate supply pipeline due to strong population growth, there's a likelihood of new development approvals. This infrastructure development and population growth are key drivers that could sustain demand for properties in Hilbert.

## 6. Bull Case If conditions hold or improve, with a 3-year growth forecast of 13.5%, the upside scenario for Hilbert, WA looks promising. Assuming the median house price of $805,000 and a continued annual growth rate of 13.5%, the potential increase in property value over three years could be significant. For example, after three years, the median house price could potentially reach around $1,043,419 (based on 13.5% annual growth), offering a substantial capital gain for investors. This scenario, coupled with the high rental demand, makes Hilbert an attractive investment opportunity.

## 7. Risks The specific risks for Hilbert, WA are relatively low, with no significant risk factors identified for this suburb. The unemployment rate is 6.1%, which is a bit higher than some might prefer but is not excessively high. The vacancy risk is very low due to the 0.9% vacancy rate. There's a moderate supply pipeline, which could balance out the demand and supply in the future. Rate sensitivity is a consideration, as with any investment, but the current gross yield of 4.4% provides a buffer against potential interest rate increases. Flood risk: not on record for this suburb in the state planning overlay. Order an independent flood certificate before commit. Bushfire risk: not on record for this suburb in the state planning overlay. Order an independent BAL (Bushfire Attack Level) assessment before commit. Heritage status is not on record — confirm with the council duty planner / a Section 10.7 (NSW) or equivalent certificate.

## 8. The Play For investors looking to enter the Hilbert, WA market, the entry range could be around the median prices of $805,000 for houses and $744,628 for units. A minimum yield to target would be around the current gross rental yield of 4.4%. Watch signals include changes in the vacancy rate, rental demand, and the progression of infrastructure projects like METRONET. The recommended strategy is to buy and hold, considering the strong growth forecast and high rental demand. Investors should keep an eye on the supply pipeline to ensure that demand does not become saturated with new developments.

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