The Perth property market has experienced strong market conditions since the end of 2020 and there are no signs of this momentum slowing.
However, even with the price growth we have experienced since the market turned, Perth remains very affordable.
Perth’s median house price is the cheapest of all capital cities
Last month, the Real Estate Institute of Australia (REIA) released its national Real Estate Market Facts for the December 2021 quarter, which found Perth had the most affordable median house sale price of any capital city in the country – and by some way too.
It found the Perth median house sale price of $525,000 was the cheapest of any capital city in the country and that Perth was one of only two capital cities with a median house sale price below $600,000 (Darwin being the other at $592,500).
The median house prices of the other capital cities around the country were $600,000 in Adelaide, $711,000 in Brisbane, $775,000 in Hobart, $950,000 in Canberra, and $1.125 million in Melbourne and $1.6 million in Sydney.
The comparison between Perth’s median and the rest of the capital cities highlights how affordable our city is. Especially when compared to Sydney which continues to have the country’s most expensive median house sale price.
Based on the December 2021 quarter figures, you could buy three properties at Perth’s median house sale price for the cost of just one median priced house in Sydney.
Perth has the third cheapest median unit price of the capital cities
When looking at unit median sale prices around the country, the REIA report found Perth was the third cheapest of the capital cities at $415,000, with Adelaide just taking second spot at $412,500, and Darwin the most affordable at $400,000.
The median unit prices of the other capital cities were $443,900 in Brisbane, $573,000 in Hobart, $576,500 in Canberra, $692,000 in Melbourne and $802,255 in Sydney.
The unit data further highlights how affordable we are, given four of the eight capital cities have median unit sale prices more expensive than Perth’s median house sale price.
It’s clear when observing median prices around the country how fortunate we are. While many people on the east coast are priced out of the residential sales market, that is not the case in WA. We are very lucky that home ownership is still an achievable dream for many West Australians.
Source: Reiwa