The 34 year-old has played over 230 A-League matches during 11 seasons, amassing an impressive 62 clean sheets in the process, while playing for Newcastle Jets, Brisbane Roar, Wellington Phoenix, Sydney FC, Central Coast Mariners and most recently, Western Sydney Wanderers.
After deciding to leave his hometown of Sydney, Reddy said he was looking forward to being part of an exciting new era at the Glory, which includes the current Johnny Warren medallist Diego Castro.
"The club has assembled a strong squad for the year and I’m really excited to be part of a Perth Glory that is showing it means business on and off the park," Reddy said.
"I’m a Glory boy now and I’m coming over to do Perth and Western Australia proud."
Perth coach Kenny Lowe, who this week signed a new two-year deal keeping him at the Glory until at least the 2018-2019 season, was confident there was a healthy mix of youth and experience among his goalkeepers.
"Jordan Thurtell and Nick Feely have got great potential and we’ve also got someone like Liam who’s played hundreds of games and comes to us with a wealth of experience," Lowe said.
"The top spot is open. You have to earn it. Yes, Liam is a veteran when you look at his stats but it’s up to the other lads to push him and keep him honest, so I expect all the guys to fight for their place."
Reddy is expected to arrive in Perth at the end of June to start training with his new Perth teammates at the start of July.