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Perth Property Hub

Understanding the Perth Housing Market: A Guide for Home Buyers

Are you in the market for a property in Perth? The Perth housing market has demonstrated remarkable resilience compared to other capital cities in Australia, with a 1.3% increase in overall property values in May 2023. Perth offers an attractive lifestyle and a robust housing market. However, before making one of the most significant investments of your life, it is crucial to have a comprehensive understanding of the current state of the Perth housing market. This post aims to provide you with an overview of the market, highlight key trends, and emphasise the need for building inspections Perth homebuyers can trust. These insights will have you well-equipped to make informed decisions as you embark on your home buying journey.

Overview of the Perth Housing Market

The Perth housing market has experienced notable growth and stability in recent years. Currently, the median house price in Perth stands at $606,563 according to CoreLogics’s latest national home value index, making it an appealing option for investors seeking affordability in comparison to other major Australian cities. Perth is known for its diverse range of property types, ranging from modern inner-city apartments to spacious suburban homes.

While Perth has witnessed moderate price growth and remained relatively stable amidst recent interest rate hikes, conducting thorough research and due diligence is essential before committing to any purchase. Market conditions can vary across suburbs and property types, so it is crucial to stay informed about local trends and property values.

Key Trends in the Perth Housing Market

Based on recent data from reiwa.com, the highest performing suburbs for house price growth in May were Hillarys (up 5.8% to $1,100,000), Kinross (up 2% to $632,500), Halls Head (up 1.9% to $540,000), Secret Harbour (up 1.8% to $539,500) and Melville (up 1.3% to $1,002,500). Byford, Warnbro, Golden Bay, Parmelia and Seville Grove recorded growth over 1%.

Perth home value index increased 1.3% during May and 2.4% over the last three months. While all the major capital cities have improved recently, Perth and Adelaide are the only areas to show growth year on year. Additionally, Perth is the only capital city where property values have returned to record highs.

The amount of properties available for sale in Perth fell to 5,885 at the end of May, 8.8% lower than April and 29.3% lower than this time last year which hasn’t been seen since mid 2010 with sales activity highest in the $500,000 to $1 million price bracket.

REIWA CEO Cath Hart said, “Despite the drop in the number of properties available for sale, there was no need for buyers to be concerned, new properties were still coming onto the market in reasonable numbers.”

Houses remained the most popular with buyers, with the number of houses available for sale falling below 2,700 for the first time since April 2010.

According to Cath Hart, “WA’s population is growing, and people are choosing to buy established homes rather than tackle the rental market. Also, increasing costs and ongoing delays in the building industry are encouraging people to buy rather than build.” 

The Importance of Building Inspections in Perth

Building inspections are a crucial aspect of the home buying process, particularly in Perth’s dynamic market. These inspections play a vital role in identifying potential issues and risks associated with a property, ranging from minor concerns like leaky pipes to significant structural defects. By conducting a thorough building inspection before finalising a purchase, home buyers can make informed decisions, mitigating unexpected expenses and potential hazards.

In Western Australia, where properties are subject to diverse climate conditions and potential hazards like termites or weather-related damage, building inspections become even more vital. Engaging a qualified and licensed building inspector in Perth who possesses a deep understanding of the local housing market and building regulations is essential for ensuring a comprehensive evaluation of the property. They should also be readily available to address any questions or concerns you may have, offering guidance on rectifying identified issues.

As the Perth housing market continues to thrive, prospective home buyers must stay informed about market trends and take necessary precautions. Building inspections are an integral part of the home buying process, providing valuable insights into a property’s condition and potential maintenance requirements. By partnering with reputable Perth building inspectors such as Total Home Inspections, you can ensure a thorough evaluation of your prospective property and make informed decisions. With careful research and the right professionals by your side, you will be well-equipped to navigate the Perth housing market and find the perfect home that meets your needs and budget.

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A collaboration of Perth Property Experts freely sharing their knowledge and expertise through a series of videos.