prowest 
Sales Activity
Sales activity saw a decrease of around 5 % in the third week of September with only 856 transactions recorded by REIWA members. The smaller number of transactions may be attributed to the 4% fall in house sales and the 34% decline in land sales, however we did see a small rise of unit sales over the week.
The listing stock levels didn’t move too much in comparison to previous weeks with just over 10,000 properties listed for sale across all of Perth. All dwellings across Perth remained stable although listings for land did increase slightly by 1%. These stock levels are 23.2% lower than stock levels recorded around this time back in 2019.
Southern suburbs like Kelmscott had a large increase in median house price with a 5.4% in price, making its median house price sitting to $320,000, Riverton saw an increase of around 3.9% and Piara Waters also so a 3.6% increase in median house price which is currently $483,000* (according to reiwa.com suburb profile).
“..Three of the top five suburbs had a median sale price under Perth’s median of $475,000, and suggests people are taking advantage of properties in Perth that are priced at the lower end” says Mr Collins.
As the government released its various bonus schemes mid-year this year Perth had a strong sales activity in the market but as the stimulus drew on we saw this interest ease off. However, we are still seeing buyers active across the market and we urge more owners who have been thinking of selling to jump in the market this Spring for the possibility of receiving a great price for their properties.
“It certainly appears that Greater Perth, and in fact a large part of Western Australia, has escaped the Covid-19 induced property slowdown. Given the high levels of demand and limited supply, we may even see prices rise later in 2020.” ~ Damien Collins, REIWA president
Property Management Activity & News
Perth’s vacancy rate has again lowered, making a market we haven’t experienced in years if not ever! Although, this isn’t necessarily a good thing for the Perth market as demand is much higher than the supply. More and more tenants are coming through home opens and properties are leasing quicker and quicker. Similarly low stock levels of properties For Sale, means there are less properties being purchased for rental purposes.
The McGowan Government recently decided to extend the emergency tenancy laws for all residential properties. REIWA has expressed its disappointment in this decision as they believe the Government has disregarded what this means for WA Landlords and will make it that much harder for tenants who need to relocated or find a home to avoid homelessness.
“Unfortunately, sitting tenants are unlikely to move or adjust household size as they are paying below market rents. In addition, we are seeing an influx of people trying to find a new rental property in a market with a very low vacancy rate.” ~ Mr Collins, REIWA president.
In August, Perth’s median rental prices moved up slightly to $360.00 per week (+$10.00). The average days on market was also lowered down to 7 days.
The current overall vacancy rate is now at a low of 1.3% which was at 1.6% last month, dropping 0.3%. Our agency, Prowest Real Estate, currently has a 0% vacancy meaning ALL our properties are currently tenanted. Our department has seen high levels of demand for every listing over the last 6 months. Many properties have had an average of over 25 people at each home open with some properties also receiving multiple great applications.
If you’re wanting to grow your portfolio speak to one of our Professional agents today and let us help you find your next investment property.
