The Australian Government’s State of the Nation’s Housing report released in February has found that while the Perth property market has experienced steady price growth over the past twelve months, Perth remains one of the most affordable cities in the nation.
According to the report, Perth experienced the second highest rental price growth in the nation for the year, with an 11% increase. Vacancy rates also remain very low at less than 1% on average. These factors are contributing to increased investor interest in the Perth property market, which will help to increase rental supply.
The report also showed that Perth has one of the most affordable property markets for first home buyers. First home buyers in the lower to middle income brackets can still afford 85% to 90% of stock available in Perth. In contrast, in Sydney, even households in the second highest income bracket can only afford up to 25% of stock.
The Real Estate Institute of Australia’s recent Housing Affordability Report also found Western Australia to be one of the nations most affordable states. This report looks at what proportion of average weekly family income is required to meet home loan repayments. The Northern Territory is the most affordable, with 25.1%, but WA comes a very close second at just 26.2%. In NSW however, 46.5% of a families weekly income is needed to make home loan repayments. Home ownership is an unreachable dream in many parts of the country, but in Perth, those dreams are realities.
Perth Suburbs Moving Up
The largest increases in average house sale prices for the month of February were seen in Mount Nasura, which recorded a 3.1% increase for the month, taking average house prices to $490,000. Second place went to Nedlands, where average house prices rose to $2.1 million, which represents a 2.4% increase.
Meadow Springs took third place, rising 2% to $430,000. Close behind, with an increase of 1.9% was Hammond Park, where average house sale prices rose to $525,000.
Hamersley came in fifth place, rising 1.8% to $565,000 for the month. Ocean Reef, East Victoria Park and Coolbellup also showed strong price growth in February.
Outlook for Perth
During March there were 7,877 properties for sale in Perth, housing listing remained steady. A further breakdown of those numbers shows 3,885 houses for sale. This represents approximately four and half weeks supply based on the current sales.
What’s Happening at Resolve?
At Resolve Property Solutions, we are working with our clients to gain access to as many suitable properties as possible. As well as sourcing properties which meet our clients brief, we also search for off-market opportunities where possible to provide more options, and always ensure they are buying the right property at the right price.
Resolve Property Solutions is an independent and qualified Buyer’s Agent specialising in Perth property. We will work hard for you to help your search, negotiate and secure your property goals at the best possible price.
Our story started with the passion for property and the research behind finding the right one.