WA Experiences Nation’s Largest Rental Price Surge in Five Years

Rowan Ashford

Published: February 10, 2026 8:58 PM ET

Western Australia is experiencing a significant surge in rental prices, with rates increasing at a remarkable pace compared to wage growth. Recent data from the property research firm Cotality reveals that over the past five years, average rents in WA have risen by 66%, significantly outpacing the 18.5% increase in wages. This disparity has prompted urgent calls for government intervention to support renters at risk of homelessness.

Nation’s Largest Rental Price Surge

According to Tim Lawless, the research director at Cotality, rental affordability in Western Australia has reached unprecedented lows. “Nowhere is the pressure more evident than in Western Australia, where rents have climbed by around two-thirds in just five years,” Lawless remarked. He emphasized that despite wages growing slightly faster than the national average, they have failed to keep up with the soaring housing costs in the state.

Shocking Statistics on Affordability

A new report highlights that more than half of households in Western Australia consider their housing unaffordable. This marks a staggering 91% increase in such perceptions over just two years. Nationally, rents increased by 43.9% during the same five-year period, while wages rose by only 17.5%.

WA Average Rent Increase: 66% over five years
WA Wage Growth: 18.5% over five years
National Rent Increase: 43.9%
National Wage Growth: 17.5%
Perth Rent Increase (12 months to January 2026): 6.2%
Regional WA Rent Increase: 10.1%

Impacts on Households and Community Concerns

Kath Snell, spokesperson for the WA Make Renting Fair Alliance and CEO of Shelter WA, has voiced concerns about the impact of rising rents on household budgets. “We’ve got about $20,000 extra per year going into rent per house compared to four years ago,” Snell stated. She attributes the unaffordability to several factors, including high demand and limited supply, alongside a significant number of properties being absorbed into the short-term rental market.

The Urgency for Government Action

Experts indicate that the rental price squeeze is likely to persist in the near future. Lawless notes that vacancy rates remain at record lows, and the supply of new housing is insufficient to meet the growing population’s demands. “Unless we see an improvement in wage growth or a significant increase in rental supply, affordability will worsen—especially for lower-income families,” he warned.

In light of these challenges, Snell has urged the government to take more decisive action, including the implementation of a rent stabilisation initiative. She has also called for the extension of the successful Rent Relief scheme, which is currently set to expire in June 2026, for an additional two years.

The rising rental prices in Western Australia underscore a critical issue facing many residents. Without immediate government intervention and a reevaluation of housing policies, the risk of homelessness and housing insecurity will continue to grow. Filmogaz.com will continue to monitor this developing situation and advocate for the needs of the community.