Watermans Bay WA Property Investment
Joondalup · 6020 · Score: 73/100 · Buy
Watermans Bay Short-Term Rental (Airbnb) Market
Watermans Bay WA Investment Brief
BUY — 1.6% gross yield on a $2,760,000 (single source — OnTheHouse only, no peer to validate) median.
THE MARKET
Watermans Bay has compounded at 5.8%/yr over 5 years. Median sits in the $2,760,000 (single source — OnTheHouse only, no peer to validate) band today. Properties are sitting on market for 18 days (sellers have the leverage).
- Median house: $2,760,000 (single source — OnTheHouse only, no peer to validate) | Units: $886,692
- Gross yield: 1.6% | Net yield: 0.1%
- 5yr price CAGR: 5.8%/yr | 3yr forecast: 13.5%/yr
- Population: 1,369 | Owner-occupier rate: 83% | Affluence: Very High
- Supply pipeline: Low — Price growth outpacing new supply, limited development pipeline
RENTAL SNAPSHOT
- Vacancy: 0.9% (improving) | Rental demand: Very High
- Median weekly rent: $875/wk | Days on market: 18 (improving)
- Landlord market — rents likely to keep rising.
SHORT-TERM RENTAL
Insufficient STR data for this suburb. Run a specific address analysis for property-level STR projections.
INFRASTRUCTURE & CATALYSTS
- METRONET (Perth Rail Expansion) (Under Construction)
- Transport: Warwick station 3.9km away
BULL CASE
If Watermans Bay maintains 3%+ annual growth and vacancy stays below 0.8%, median prices could reach $3,174,000 within 3 years with yields compressing slightly as capital values rise.
BEAR CASE
A market correction or interest rate shock could see prices in Watermans Bay pull back 10-15% from $2,760,000, with vacancy rising to 1.6% and rental yields softening as tenants gain leverage.
KEY RISKS
- Premium price point limits buyer pool and increases interest rate sensitivity
COMPARABLE MARKETS
- Booragoon (WA): $1,935,724 median, 2.5% yield, 51.1% 1yr growth
- Mount Pleasant (WA): $2,152,430 median, 2.4% yield, 3.6% 1yr growth
- Trigg (WA): $2,642,840 median, 2.2% yield, 30.2% 1yr growth
THE PLAY
Watermans Bay presents a compelling investment opportunity. The combination of solid fundamentals and very high rental demand supports entry at current price levels. Proceed with due diligence on specific properties. Target gross yields above 1.6% and prioritise properties with value-add potential. Consider timing entry around the current stable phase of the market cycle.
- Entry range: $2,484,000 – $3,036,000
- Minimum gross yield to target: 4.5%
- Watch signal: vacancy staying 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.
Gentrification Index
Growth Forecast
high confidenceBasis: 5yr CAGR 5.8% + 10yr CAGR 5.8%
- +Above-average population growth (1.7%/yr)
- +Very tight rental market (vacancy 0.9%) — upward price pressure
- +Fast sales (18 days avg) — strong buyer demand
- +Premium transport infrastructure — supports long-term capital growth
- −High supply pipeline (2818 new approvals) — may cap price growth
Suburb Metric Thresholds
Macro Environment
Macro Indicators
Cash Rate
4.35%
▲ 0.25%Cash rate as at 2026-05-06 · Credit data 2026-04
Suburb Supply & Demand
Suburb Supply Pipeline — New Dwelling Approvals
596
2020
827
2021
514
2022
363
2023
518
2025
New dwelling approvals — higher numbers mean more future supply
Socio-Economic Profile
Source: ABS Census 2021SEIFA Index · Postcode 6020
Decile 10 of 10 — Low disadvantage
Population
22,581
Education (IEO)
9/10
Econ. Resources (IER)
10/10
10-Year Investment Projection
Modelled on Watermans Bay WA data — rent, capital growth, tax, and depreciation over 10 years.
Pre-filled: $875/wk median rent for Watermans Bay. Capital growth and rent increase are editable assumptions.
Nearby Suburbs
Analyse a Property in Watermans Bay
Get instant STR rules, granny flat feasibility, rental yield, and full investment strategy comparison for any address in Watermans Bay.
Analyse a Property →Data sourced from ABS, state government property sales, and Airbnb market analytics. For informational purposes only — not financial advice.