There really has been no better time to buy real estate in Western Australia. Industry reports have been coming in thick and fast that housing prices in Perth will continue to fall during 2017. A prediction made in January that a five percent decrease in median housing prices was likely within the first six months appears to be on the money. Now almost at the mid-year point, Perth’s oversupply of listings and fierce competition among sellers has resulted in property prices inevitably being driven down.
According to the latest Corelogic Housing Market Update for Perth, there was a slight decrease in dwelling values (2.2%) over the first four months of the year. When compared to December 2014, dwelling values have actually decreased by 10% overall. However, the number of property sales this year has actually risen when compared with 2016, tracking 4.3% higher than the same time as last year. This gives us an indication that homebuyers are finally beginning to take advantage of Perth’s fantastic purchasing conditions.
REIWA president Hayden Groves recently predicted that the average house price in Perth will continue to hover at around the same mark as it did in 2016, forecasting that there would be “zero growth” if bank interest rates remained stable throughout the year.
“First homebuyers are still a very active component of the Perth market,” Mr Groves said.
“The great Australian dream of owning your own piece of real estate is alive and well.”
In addition to first homebuyers reaping the rewards in the current housing market, homeowners looking to ‘upgrade’ to other areas in Perth can potentially find value in purchasing real estate in ‘blue ribbon’ areas of the western suburbs, such as Nedlands, Dalkeith and Subiaco. With so many houses currently on the market, now is the perfect time for those people wishing to relocate to a nicer home in a more established suburb, or perhaps edge closer to the river or beach.
For investors, Perth is currently one of the best places (if not the best place) in Australia to snap up a piece of real estate to add to their investment portfolio. When compared to the east coast, particularly Sydney and Melbourne, where the annual rate of growth has jumped almost 19% and 16% percent respectively, housing prices are at an all-time high. With the Sydney and Melbourne housing markets showing such substantially higher rates of capital gain when compared to other capital cities around the country, it stands to reason why homebuyers are beginning to invest in the west.
Whether you are looking to enter the housing market for the first time, upgrade to another suburb or add to your investment portfolio, ACTON has you covered. We are the real estate and investment property management experts in Perth, so give us a call today to discuss all your property needs.