If you’re hoping Perth’s red-hot property market will cool down before you buy, you might want to think again. Far from slowing, Perth’s property values are forecast to accelerate even further in 2026, with KPMG forecasting 2% growth and Westpac predicting 8% growth for the year ahead. For buyers sitting on the sidelines, waiting could turn into an expensive strategy.
Why Perth’s growth is set to continue
Several factors are driving Perth’s continued property growth, and none of them are showing signs of easing anytime soon.
Undersupply of new dwellings
Perth continues to face a significant housing shortage, with construction activity unable to keep pace with demand. New dwelling completions in Western Australia remain well below the levels needed to restore balance, with just over 21,000 private sector dwellings completed in the 2024-25 financial year, according to the Australian Bureau of Statistics (ABS). While this was a 25% improvement from the previous financial year’s completions, it remains below WA’s goal of 24,000 new homes per year.
With fewer new homes coming into the market, buyers are competing for a limited pool of established homes, which continues to put upward pressure on prices.
Population growth increasing demand
WA continues to lead the way in population growth. ABS data shows that in the 12 months to March 2025, the state’s population grew by 2.3%, or 67,500 people. A large portion of this (61%) was made up of overseas migrants. The state also led the way for interstate migration, with 11,675 Australians choosing to move west.
With new residents arriving each year, demand continues to outstrip supply across both the rental and purchase markets. More people, but not enough homes, means prices remain under persistent upward pressure.
Rapid sales and low listings
As a result of this imbalance, market conditions remain incredibly tight. Properties in Perth are selling in a median of eight days, the fastest pace on record, according to the Real Estate Institute of Western Australia (REIWA).
Listings remain at historically low levels, with just 2,793 available across Perth at the end of October. Homeowners are also reluctant to sell due to the difficulty of securing their next property, further tightening the listings squeeze.
This combination of rapid sales and limited stock creates intense competition and upward pressure on prices.
What this means for buyers
The message is clear: delaying your purchase in hopes of a market correction could mean paying significantly more later while having fewer properties to choose from. If you wait for the “perfect” market timing, you might find yourself priced out of suburbs you can afford today.
However, securing property in a tight market requires preparation. Have your finance pre-approved, know your must-haves versus nice-to-haves and be ready to move decisively when the right opportunity appears. In Perth, hesitation can mean missing out.
It’s also crucial to think long-term. Rather than trying to time a market peak or trough, focus on whether a property meets your needs over time, whether that’s as your primary residence or as an investment property.
Finally, partner with a buyer’s agent who can give you a competitive edge. Many quality opportunities never make it to public listings. A skilled buyer’s agent has access to off-market and pre-market properties, helping you secure the right home before most buyers even know it is available.
If you’re serious about buying in Perth, staying on the sidelines may not be the safest choice. Getting proactive now can help you secure the right property and avoid paying more as the market continues to strengthen.
Whether you’re planning your next home or investment purchase, understanding where WA’s growth is headed is key. As an expert Perth buyer’s agent, Resolve Property Solutions can help. To discuss your options, book a free discovery call with our team.
