April was another strong month for the Perth property market, with CoreLogic data showing the Perth home value index increased 1.1 per cent during the month.
REIWA President Damian Collins said with another solid month of price growth recorded, the Perth property market was firmly on track to achieve 10 per cent price growth during the 2022 calendar year.
The Perth property market remains in a very good position for continued price growth. Even with interest rate rises expected soon, REIWA does not anticipate this will adversely impact our local market.
With low levels of stock for sale and building completions still sluggish, continued strong demand from buyers suggest the Perth residential sales market will be buoyant for some time. However, the good news is that WA has some of the most affordable housing in the country, which means most buyers will be able to afford price increases and the looming interest rate rises, Mr Collins said.
Median house sale price
Perths median house sale price was $525,000 during April, which remains the most affordable median house sale price in the country.
The suburbs to record the biggest median house sale price growth during April were Wembley Downs (up 2.9 per cent to $1.305 million), Maddington (up 2.8 per cent to $360,000), Waikiki (up 2.7 per cent to $407,125), Carramar (up 2.7 per cent to $565,000) and City Beach (up 2.5 per cent to $2.325 million).
Other suburbs to perform well were Wanneroo, Thornlie, Ballajura, Karrinyup and Mosman Park.
Listings for sale
There were 7,920 properties for sale on reiwa.com at the end of April, which is one per cent higher than March and 11 per cent lower than the end of April 2021.
Listings for sale remain low across Perth, which is fuelling competition amongst buyers and putting upward pressure on prices. We expect to see more properties come to market as interest rates rise, but not enough to dampen demand, Mr Collins said.
Time on market
The median time to sell a house during April was 13 days, which is one day faster than March 2022 and the same as April 2021.
Median selling times in Perth are back below two weeks which is exceptionally fast. In this market, buyers must be very prepared and willing to act quickly when they see a property they want to purchase, Mr Collins said.
reiwa.com data shows the fastest-selling suburbs in April were Cooloongup (six days), Tapping (seven days), Waikiki (seven days), Woodvale (seven days) and Bedford (seven days).
Other suburbs to record fast median selling times were Coolbellup, Currambine, Brabham, Heathridge and Bayswater.
Perth rental market
Median rent price
Perths median rent price increased $10 to $460 per week during April.
This is now the highest median rent price Perth has recorded, however its important to note that its been seven years since we last saw a new peak price. While it has been a challenging time for tenants, we still have the most affordable rental market in the country, Mr Collins said.
The suburbs to record the biggest increase in median rent during April were Wilson (up $18 to $438 per week), Southern River (up $20 to $500 per week), Mount Lawley (up $25 to $625 per week), Hammond Park (up $13 to $473) and Warnbro (up $10 to $390 per week).
Other suburbs to record notable increases were Scarborough, Victoria Park, Canning Vale, Wellard and Forrestfield.
Median leasing times
It took a median of 16 days to lease a rental during April, which was the same as March and three days faster than April 2021.
The suburbs that recorded the fastest median leasing times during March were Hamilton Hill (12 days), Hammond Park (13 days), Alkimos (13 days), Butler (13 days) and Clarkson (13 days).
Other suburbs to experience fast median leasing times were Success, Willetton, Harrisdale, Spearwood and Byford.
Listings for rent
There were 2,446 properties for rent on reiwa.com at the end of April, which is three per cent more than at the end of March but 14 per cent lower than the same time last year.
The rental shortage remains a significant challenge for the Perth rental market. There is no quick solution for this problem, which is why it is imperative that the WA Government does not make major changes to the Residential Tenancies Act that will discourage property investment in WA at a time when we desperately need more rental stock, Mr Collins said.