North Fremantle WA Property Investment

THE MARKET

North Fremantle recorded 5.2% annual price growth over the past 5 years — a $1,700,000 house bought in 2019 would be worth approximately $1,319,381 today. Properties are sitting on the market for 14 days (sellers have the leverage).

- **Median house:** $1,700,000 | **Units:** $347,571 - **Gross yield:** 3.2% | **Net yield:** 1.7% - **Vacancy:** 2.5% (stable) | **Rental demand:** Moderate - **5yr price growth:** 5.2%/yr | **3yr forecast:** 5.9%/yr - **Days on market:** 14 (improving)

STR potential: $165/night at 66% occupancy = ~$39,748/yr gross. Long-term at $54,600/yr may be simpler with comparable returns.

BULL CASE

If North Fremantle maintains 3%+ annual growth and vacancy stays below 1.8%, median prices could reach $1,955,000 within 3 years with yields compressing slightly as capital values rise.

Notable infrastructure: **Fremantle Traffic Bridge Replacement (Swan River Crossings)** (under construction). Plus 3 more projects in the pipeline.

BEAR CASE

A market correction or interest rate shock could see prices in North Fremantle pull back 10-15% from $1,700,000, with vacancy rising to 4.5% and rental yields softening as tenants gain leverage.

WHAT TO DO

North Fremantle presents a compelling investment opportunity. The combination of solid fundamentals and moderate rental demand supports entry at current price levels. Proceed with due diligence on specific properties. Target gross yields above 3.2% and prioritise properties with value-add potential. Consider timing entry around the current growth phase of the market cycle.

- Entry range: $1,530,000 – $1,870,000 - Minimum yield to target: 4.5% - Watch signal: vacancy dropping below 2% and days on market holding under 35

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