The Perth real estate market – data shows that our market has steadied overall; Individual suburbs with strong fundamentals ie good schools are still outperforming, relatively, but over all there are signs that the increase in the cost of living and affordability is having an effect.
Interest rate drops are being mentioned in the media but there is concern that this will drive a further spiral in real estate prices putting more pressure on the housing market that currently is struggling with supply. Housing affordability is a big concern for the newly elected Government as well as the debt load in middle to lower end of the market households – a point of balance & caution has been reached.
Rising material costs and getting the tradesmen has created a quoting nightmare for builders while at the same time land availability is also in catch up mode with 6 new subdivisions being developed along Thomas Road south of Perth.
The renovation market is thriving, as people are now looking to put some time and money into their current home rather than sell and buy with the financial bite of changeover costs.
Eastern States investors are very active in our market with agents getting frequent calls from buyers’ agents or investment agents seeking off market opportunities. This just adds to our demand but price caution still prevails.
What does the data say – According to CoreLogic’s Home Value Index and REIWA’s latest data, April brought moderate price gains, rising rental vacancies, and a mixed but improving outlook for sales and auctions.
Perth Property Market Snapshot: Resilience in Motion
In contrast to the national trend, Perth property values remain robust, underpinned by a strong local economy and high migration. Still, the market is adjusting:
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- Lease vacancy rate increased by 2.5%, a sign of slight easing in tenant demand or increased rental supply?
- Weekly sales volume fell 7.5%, but house sales were up 4.8%, and unit sales rose 1.6%.
- Land sales fell by 61.8%, continuing a longer-term trend of limited buyer interest in undeveloped land.
Top-selling suburbs included:
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- Balga (18 sales)
- East Perth, Gosnells, and Perth (14 each)
- Morley (12 sales)
At the top end, North Beach recorded a sale of $3.17 million, while Kenwick saw the lowest at $415,000.
Perth Rental Market: Balancing Demand and Supply
REIWA reports that 2,325 rental properties were available, up 1.2% from the week before and 2.9% higher year-on-year. Leases held steady at 702, with suburbs like Baldivis, East Perth, and Alkimos leading activity.
While vacancy rates increased, the overall rental market remains tight, with demand strong in specific segments, especially among relocating professionals.
Regional WA Outperforms: Geraldton and Bunbury in Focus
WA’s regional markets continue to shine. According to REIWA:
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- Geraldton recorded 6.5% price growth in Q1 2025, with a median sale price of $490,000.
- Bunbury led the year with 25.9% growth, reaching $616,995.
- Investor interest remains strong, particularly in the $400,000–$600,000 bracket, though local buyers are now re-entering with more competitive offers.
Regional Rent Surge
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- Port Hedland posted an 11.8% quarterly rise to $950/week.
- Esperance saw a massive 57.9% annual increase, now at $600/week, reflecting scarce rental supply and higher-end leasing.
Auction Market Rebounds Post-Election
After April’s slowdown, early May saw a return to stronger auction activity:
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- Perth saw 7 auctions, with 5 reporting successful outcomes.
PWC Realty: Your Expert Guide in Perth Real Estate
In a market defined by evolving trends and regional variations, expert guidance is essential. PWC Realty is your trusted local partner for:
With deep industry knowledge and a client-first approach, PWC Realty ensures you make confident and informed real estate decisions. Reach out to Jo Lindo to navigate Perth’s real estate market with clarity and success.