The Impact of FIFO Workers on Perth's Property Market: What Investors Should Consider

Perth, the capital of Australia’s mining state, is home to many fly-in, fly-out workers. Every good property investor should be paying attention to FIFO workers and how they can impact great investment choices.

Here, the experts at Patrick Leo outline what investors need to consider regarding FIFO workers and the Perth property market:

Preferred suburbs of FIFO workers

There are around 60,000 FIFO workers in Western Australia, making them about 2% of the state’s population. While every FIFO worker is different, there are some areas which are more sought-after by FIFO workers than others. Belmont, Midland and Guildford are favourites, thanks to their proximity to Perth Airport, making the commute to and from work much easier. These areas have seen some impressive growth. Using Midland as an example, median house prices shot from $300K in 2020 to the mid-$400,000s in 2024, now sitting at around $440K.

High-income tenants with less property usage

Securing a FIFO worker as a tenant has some key advantages. First of all, they enjoy high incomes with most workers earning over $100k, and many earning much more than that. High earning tenants are naturally desirable as they are less likely to stop being able to afford paying the rent. They also spend less time occupying the property, which generally results in less wear and tear.

Increased rental demand

An influx of FIFO workers often brings increased rental demands, which is an excellent quality for property investors to look for. Perth now has one of the tightest rental markets in Australia, and FIFO workers are certainly having an impact on this. This is desirable for property investors who can enjoy lower risks of experiencing periods of inoccupancy.

Cyclical nature of mining industry

While Perth’s mining industry has been historically strong, there is a boom-and-bust nature to mining which property investors should be aware of. This reflects a cyclical dynamic, and investors should be mindful that mines can close as quickly as they open. Perth’s property market, while not immune to the cyclical nature of the mining industry, has a measure of resilience to it, as FIFO workers base themselves in the city, no matter where their mine site is. In other words, their need to be in a conveniently-located suburb of Perth like Guildford or Midland generally doesn’t change unless they move interstate or leave the industry.

Interested in investing in property that’s attractive to FIFO workers? Patrick Leo can help you. We’re a team of property consultants who help Australians in all aspect of property investment – from buying to managing. Get in touch with our team today and find the perfect Perth property.