Perth Home Values Up 10% In 10 Months

The Perth residential sales market continued its growth for the tenth consecutive month in May, with the Core Logic Perth home value index increasing 1.1% during the month. Reiwa President Damian Collins said that brought Perth price growth to 7% for the first five months of the 2021 calendar year and 10% since July 2020.

Perth's median house sale price for May was $510,000, with Reiwa data revealing 81 suburbs recorded house sale price growth during the month. Top performers were Attadale (up 4.9%), Scarborough (up 3.8%), Melville (up 3.6%), South Lake (up 3.6%) and Hamilton Hill (up 3.5%).

Competition among Perth buyers remains high, with the median time to sell sitting at 14 days for May. "Median selling times are still sitting close to 15 year lows, with buyers needing to act very quickly to secure a property."

There were 9020 properties for sale in Perth at the end of May on Reiwa, this is 0.8% more than there were at the end of April and 14.9% more than three months ago. The figure for May is also the first time we have seen listings sit above 9000 since November 2020.

Listings for rent increased 3.8% in May, while Perth median rent price was stable during the month. "While the rental market has some way to go before it balances out, the signs are encouraging that we are on the right track. Since the moratorium ended in March, we've seen investor activity start to build again, as evidenced by last months ABS investor finance figures, which is producing more rental stock and helping slow down rental price growth."

Not only are rental listings up 3.8% for the month, but over the last three months we have seen rental listings increase 7.4% which is quite substantial after a long period of declines. The 10 suburbs to record the biggest increase in rental listings during the month were Kewdale, Balcatta, Maddington, Mouth Pleasant, Como, Cloverdale, Yanchep, Mindarie, Forrestfield and Claremont.

Perth's median rent price was unchanged in May holding at $420 per week. While the overall median rent price was unchanged during the month, 29 suburbs did record price increases. The strongest performers for median rent growth during May were Alkimos (up $15), Halls Head (up $15), Gosnells, Rockingham and Nollamara (up $10).

There were 2891 properties leased during May, which is 4% more than April. The suburbs to record the biggest increase in leasing activity during the month were Secret Harbour (up 78%), Piara Waters (up 60%), Halls Head (up 57%), Clarkson (up 55%) and Wellard (up 43%). Reiwa data shows the median time to lease a property in May was 18 days.

Source - Reiwa - 01/06/2021