Powered by MOMENTUM MEDIA
realestatebusiness logo

Breaking news and updates daily. Subscribe to our Newsletter!

Home of the REB Top 100 Agents
Breaking news and updates daily. Subscribe to our newsletter

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

rpm logo latest

Perth hits 5-year high

By Sasha Karen
19 December 2018 | 1 minute read
Perth skyline sunset reb

Conditions in Perth are the best they’ve been in five years, a new index is reporting.

The latest quarterly edition of the Buy-Rent Index, a collaboration between the Real Estate Institute of Western Australia and Curtin University, has found that Perth property is very affordable for buyers.

In fact, a median house price of 2.9 per cent annually over 10 years would mean Perth houses would be more financially viable to purchase than to rent.

Advertisement
Advertisement

Damian Collins, president of the RIEWA, said that the current mix of affordable house prices and median rents means buyers have power in the Perth market.

“With Landgate data showing Perth’s median house price is the most affordable it’s been in six years and reiwa.com.au data showing Perth’s median house rent increased by $10 per week during the September 2018 quarter, the latest Buy-Rent Index has shifted more heavily in favour of buying,” Mr Collins said.

“Another contributing factor to the improvement in affordability is declining mortgage rates, with the 10-year average having dropped from 7.3 per cent (1998–2008) to 6.2 per cent during the last decade (2008–2018).

“The current Perth median house price would only have to increase to $658,000 by 2028 to be considered more financially advantageous than renting. This bodes very well for Perth buyers, considering the 15-year annual average house price growth rate is 5.1 per cent.”

According to J-Han Ho, property researcher and senior lecturer at the School of Economics, Finance and Property at Curtin University, the data indicated the near future indicated a positive outlook for the Western Australian market.

“Perth’s housing market is very attractive when you consider the cost of housing, distance from the CBD or major activity centres, housing quality and size, and amenities available in every precinct,” Mr Ho said.

“The state government’s international education strategy and graduate skilled migration list that was introduced in 2018, along with changes to immigration policies by both state and federal government in 2019, could be the catalyst for an increase in demand for housing.

“Planned mining investments and retail centre developments should also help to improve employment figures and consumer confidence in WA.”

Perth hits 5-year high
Perth skyline sunset reb
lawyersweekly logo
Rankings
rankings
JUST RELEASED
May 09, 2022

REB Top 50 Women in Real Estate 2022

REB is thrilled to present the Top 50 Women in Real Estate 2022 ranking, which sets t ... LEARN MORE

rankings
JUST RELEASED
May 04, 2022

REB Top 100 Agents 2022

Now in its second decade, the REB Top 100 Agents 2022 rankings are the most revered s ... LEARN MORE

rankings
JUST RELEASED
May 02, 2022

REB Top 50 Agents NSW 2022

Even a pandemic has not put the brakes on the unstoppable property market in NSW, whi ... LEARN MORE

rankings
JUST RELEASED
April 27, 2022

REB Top 50 Agents VIC 2022

The COVID-19 crisis has not deterred the property market in Victoria, which has been ... LEARN MORE

rankings
JUST RELEASED
April 25, 2022

REB Top 50 Agents QLD 2022

As the property market continues to roar in Brisbane and Queensland, the REB Top 50 A ... LEARN MORE

Coming up

rankings rankings

 

Subscribe to our RPM
mailing list

 

Do you have an industry update?

top suburbs

12 month growth
Box Hill
127.02%
Mollymook
82.85%
Brightwaters
79.93%
Cleve
78.13%
Bawley Point
76.2%
Murrays Beach
75.57%
Terranora
70%
Crescent Head
69.38%
Park Ridge South
68.32%
Mollymook Beach
67.09%
SEE AREA REPORTS ON SMART PROPERTY INVESTMENT WEBSITE
Subscribe to Newsletter

Ensure you never miss an issue of the Real Estate Business Bulletin.
Enter your email to receive the latest real estate advice and tools to help you sell.