REIWA data shows Perth market showing signs of stability

Written by Natalie Hordov via Eastern Reporter REAL ESTATE

THE Perth property market is showing signs of stability with both the median house price and overall median rent holding steady in the three months to August 2017.

According to reiwa.com data, the median house price was $515,000, while the median rent was $350 per week for the fourth month in a row.

President Hayden Groves said it was encouraging to see the median price remain firm across both sectors of the Perth property market.

“The stable medians are good news and indicate that seller’s and landlord’s expectations are matching those of buyers and tenants,” he said.

Listings for sale have continued to trend downwards over the past month, decreasing by 1 per cent and are 10 per cent lower than three months ago.

“The reduction of properties for sale should create a better balance between the supply and demand of Perth’s overall housing stock,” Mr Groves said.

“Traditionally in spring, there tends to be a lift in sales activity which means there is potential for the median house price to increase in the coming months as we see more demand for housing and increased competition from buyers.”

In the residential rental market, reiwa.com data showed stock reduced by 6 per cent to 10,046 properties for rent, with leasing activity up by 8 per cent during the month of August.

“The boost in leasing activity is pleasing to see and has contributed to the declining trend in listings levels as rental stock gets absorbed due to the demand from tenants,” Mr Groves said.

“This improved activity is also helping to keep the overall median rent in check at $350 per week, stable for the fourth consecutive month, which is welcome news for landlords and property managers alike.

“With the warmer weather ahead, we should typically see both buyer and tenant activity levels increase.

“Together with the stabilising trends in median house and rent prices, the Perth property market is showing positive signs as we head into spring and summer.”