Perth’s spring selling season is underway, with 119 suburbs recording an increase in listings for sale during October.
REIWA President Damian Collins said spring traditionally saw more sellers come to market, ready to take advantage of increased buyer activity following the winter slowdown.
“Spring 2021 has so far continued the trend we’re used to seeing this time of year, as an increasing number of owners choose to list their property for sale, ready to take advantage of Perth’s strong market conditions,” Mr Collins said.
Listings for sale
There were 8,620 properties listed for sale on reiwa.com at the end of October, which is three per cent more than September.
REIWA analysis shows 5,838 new listings came to market in October, which is the highest level reported since May.
“This illustrates that the increase in listings during October is not because properties are languishing on the market, but because buyer demand is high and sellers are taking advantage of the favourable market conditions,” Mr Collins said.
The suburbs to record the biggest increase in total listings (percentage wise) were Darch, Hillarys, Sorrento and Inglewood.
“These four suburbs were particular standouts, with listings for sale increasing by 100 per cent or more in each area when comparing October to September,” Mr Collins said.
Other suburbs to record notable growth were Treeby, Warwick, Wembley, Langford, Jindalee and Northbridge.
Perth home value index and median house sale price
CoreLogic’s Perth home value index decreased 0.11 per cent during October.
“Whilst price growth was relatively subdued during October, on an annual basis Perth home values are up 16.37 per cent,” Mr Collins said.
reiwa.com data shows Perth’s median house sale price was $520,000 in October, with 65 suburbs recording price growth during the month.
The suburbs to record the biggest house price growth during October were Cottesloe (up 4.6 per cent to $2.6 million), Doubleview (up 2.8 per cent to $795,000), Sorrento (up 2.8 per cent to $1.15 million), Joondalup (up 2.8 per cent to $545,000) and Brabham (up 2.6 per cent to $427,500).
Time on market
The median time to sell a house during October was 16 days, which is one day faster than it took in September and nine days faster than October 2020.
“Buyers are still having to act very quickly to secure a property in Perth,” Mr Collins said.
reiwa.com data shows the five fastest selling suburbs in October were Heathridge (six days), North Perth (six days), Willagee (six days), Bull Creek (seven days) and Kingsley (seven days).
Other suburbs to perform well were Willetton, Currambine, Padbury, Doubleview and Floreat.
Perth rental market Median rent price
Perth’s median rent price was stable in October, holding at $430 per week.
“In the last three months, we’ve only seen a $5 increase in rents in Perth, which is quite remarkable considering the vacancy rate remains low and competition amongst tenants to secure a rental is still high,” Mr Collins said.
Median leasing times
It took a median of 17 days to lease a rental during October, which was one day faster than September and one day faster than October 2020.
The suburbs to record the fastest leasing times during October were Wellard (10 days), Byford (13 days), Kelmscott (13 days), Yokine (13 days) and Doubleview (13 days).
Other suburbs to perform well were Forrestfield, Halls Head, Seville Grove, Canning Vale and Secret Harbour.
Listings for rent
There were 2,146 properties for rent in Perth on reiwa.com at the end of October.
“The biggest issue facing the Perth rental market is not affordability, but a shortage of rental stock. Western Australian needs to see an influx of investors to ensure there is an adequate supply of rental stock to keep up with tenant demand,” Mr Collins said.
“With the WA borders set to open next year, demand for rentals will likely increase. It is imperative that investors are not further deterred from providing rentals in WA and that the outcome of the Residential Tenancies Act review is fair for all parties.”
Sourced from REIWA