Perth home values increase for seventh consecutive month

CoreLogics Perth home value index increased 0.4 per cent during June, marking the seventh consecutive month of price growth.

The June figure brings Perth price growth for the 2022 calendar year to four per cent.

REIWA President Damian Collins said the Perth property market had experienced solid price growth in the first six months of 2022.

Our members have reported strong market conditions throughout Perth and across all price points over the last 12 months, and that has particularly been the case for the first half of 2022, Mr Collins said.

At the midway point of the year, REIWA’s 2022 calendar year forecast of 10 per cent price growth is tracking well. As we move through the winter months, it is likely some heat will come out of the market, however, not enough to impact Perth’s overall growth trajectory.

Median house sale price

The suburbs to record the biggest increase in median house sale price during June were Edgewater (up 3.3 per cent to $620,000), Riverton (up 3.3 per cent to $736,500), Kalamunda (up 2.8 per cent to $735,000), Jindalee (up 2.4 per cent to $640,000) and Padbury (up 2.3 per cent to $655,000).

Other suburbs to perform well were Alkimos, Mullaloo, Seville Grove, Shenton Park and Dawesville.

Perths median house sale price is still the most affordable median of any capital city in the country. While increases to the cash rate will have some impact on affordability, West Australians are very well positioned to manage these costs, Mr Collins said.

Listings for sale

There were 8,541 properties for sale on at the end of June, which is 2.6 per cent higher than May.

Listings for sale remain low. Until listing volumes reach that 12,000 – 13,000 balanced market figure, competition amongst buyers will be high especially as the states population increases, Mr Collins said.

Time on market

The median time to sell a house was 16 days during June, which is two days slower than May and three days faster than June 2021.

While the median selling time was a couple of days slower than May, the June figure is still much lower than the 30 to 40 days we would typically see in a balanced market, Mr Collins said. data shows the fastest-selling suburbs in June were Orelia (three days), Parmelia (four days), Meadow Springs (six days), Kingsley (six days) and Medina (six days).

Other suburbs to record fast median selling times were Merriwa, Waikiki, Wanneroo, Safety Bay and Kinross.


Perth rental market

Median rent price

Perths median rent price held at $470 per week during June.

While the median rent price has risen over the last year, we are not seeing month-on-month unsustainable growth rates, Mr Collins said.

Median leasing times

It took a median of 16 days to lease a rental during June, which was the same as May and four days faster than June 2021.

The suburbs that recorded the fastest median leasing times were Yanchep (eight days), Atwell (nine days), Yokine (10 days), Perth (11 days) and Queens Park (11 days).

Other suburbs to experience fast median leasing times were Alkimos, Balga, Duncraig, Seville Grove and Tapping.

Listings for rent

There were 2,296 properties for rent on at the end of June, which is 0.5 per cent more than the end of May and 17.5 per cent less than at the end of June 2021.

The housing shortage is the biggest issue facing the WA rental market. Whilst we have one of the most affordable rental environments in the country, there simply is not enough available rentals to meet tenant demand, Mr Collins said.

WA desperately needs an influx of investors to help improve the supply of rentals. It is imperative that no major changes are made to residential tenancy laws during the Residential Tenancies Act review which would discourage investors from buying properties in WA.

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