Satterley Property Group chief executive Nigel Satterley urges buyers not to wait
THE nation's biggest private land developer has urged West Australians to cast off the shackles of the global financial crisis.
HE'S a big man with a big opinion and Satterley Property Group chief executive Nigel Satterley isn't afraid to let us know about it.
Australia's biggest private land developer has urged West Australians to cast off the shackles of the global financial crisis and take confidence from the state's outstanding economic data.
"WA is not Europe,'' Mr Satterley said.
"We have a robust, healthy economy, low unemployment (3.8 per cent), high growth, high migration, increasing activity in the housing market and the first signs of growth in home prices.
"All the economic and housing data is telling us that now is the time to buy.''
Mr Satterley said new house-and-land packages offered excellent value because renting was more expensive than buying in Perth.
"Historically, when you wanted to rent a property in the Perth area, you had a choice of more than 6000 properties, now you have a choice of 2500,'' he said.
"Anything good is already gone.''
With weekly median rent hitting the $420 mark, Mr Satterley said people living in rental accommodation, or, worse, those trying to secure a rental, should consider buying.
"It seems a simple choice to me, $420 per week, no potential for capital growth, living in a rundown rental, at the mercy of your landlord, or $420 per week, in a brand new home, purpose-built to your wishes with good capital growth in the medium to long term.
"For example at Wandi, where Satterley's Honeywood estate is located, there are presently homes listed for rent starting at $480 and rising to over $600 per week.
"For that weekly outlay, you could own a brand new home at Honeywood, built for your family and surrounded by landscaped parks with playgrounds for the kids to run around in and places for families to walk, cycle, meet and enjoy the great outdoors.''
Mr Satterley said the combination of low and falling interest rates, a shortage of rental accommodation and high median weekly rent had combined to create the ideal time to switch from tenant to homeowner.
"It's the perfect storm if you like,'' he said.
Mr Satterley said the problem had been exacerbated by fewer building starts and approvals.
"We have been building fewer homes at a time when our population is increasing rapidly,'' he said.
"When the vacancy rate gets this low, those properties left on the market for rent are usually of poorer quality.''