The Perth property market has continued to see an uptick in prices since reopening its borders in February.
The latest data from CoreLogic shows Perth property values increased 1.1 per cent in April.
Real Estate Institute of Western Australia (REIWA) President Damian Collins said the capital was on track to see values increase 10 per cent during the 2022 calendar year.
“The Perth property market remains in a very good position for continued price growth,” Mr Collins said.
“Even with interest rate rises expected soon, REIWA does not anticipate this will adversely impact our local market.
Mr Collins said tight stock levels were putting upward pressure on prices.
“With low levels of stock for sale and building completions still sluggish, continued strong demand from buyers suggest the Perth residential sales market will be buoyant for some time,” he said.
“However, the good news is that WA has some of the most affordable housing in the country, which means most buyers will be able to afford price increases and the looming interest rate rises.”
Perth’s median house sale price rose to $525,000 during April, which still leaves Perth the most affordable capital city in the country.
The suburbs to record the biggest median house sale price growth during April were Wembley Downs (up 2.9 per cent to $1.305 million), Maddington (up 2.8 per cent to $360,000), Waikiki (up 2.7 per cent to $407,125), Carramar (up 2.7 per cent to $565,000) and City Beach (up 2.5 per cent to $2.325 million).
Other suburbs to perform well were Wanneroo, Thornlie, Ballajura, Karrinyup and Mosman Park.
There were 7920 properties for sale in Perth at the end of April, which is one per cent higher than March and 11 per cent lower than the end of April 2021.
“Listings for sale remain low across Perth, which is fuelling competition amongst buyers and putting upward pressure on prices,” Mr Collins said.
“We expect to see more properties come to market as interest rates rise, but not enough to dampen demand.”
In April it took 13 days to sell a property, which was one day faster than in March and the same as April 2021.
Mr Collins said median selling times in Perth were back below two weeks.
“In this market, buyers must be very prepared and willing to act quickly when they see a property they want to purchase,” he said.
The fastest-selling suburbs in April were Cooloongup (six days), Tapping (seven days), Waikiki (seven days), Woodvale (seven days) and Bedford (seven days) with other suburbs selling fast including Coolbellup, Currambine, Brabham, Heathridge and Bayswater.
Perth rental market
Perth’s median rent price increased $10 to $460 per week during April, setting a new rental record for the city according to Mr Collins.
“This is now the highest median rent price Perth has recorded, however it’s important to note that it’s been seven years since we last saw a new peak price,” he said.
“While it has been a challenging time for tenants, we still have the most affordable rental market in the country.”
The suburbs to record the biggest increase in median rent during April were Wilson (up $18 to $438 per week), Southern River (up $20 to $500 per week), Mount Lawley (up $25 to $625 per week), Hammond Park (up $13 to $473) and Warnbro (up $10 to $390 per week).
Other suburbs to record notable increases were Scarborough, Victoria Park, Canning Vale, Wellard and Forrestfield.
There were 2446 properties for rent at the end of April, which is three per cent more than at the end of March but 14 per cent lower than the same time last year.
“The rental shortage remains a significant challenge for the Perth rental market,” Mr Collins said.