Perth House Prices Still Australia’s Most Affordable
Kanebridge News
Share Button

Perth House Prices Still Australia’s Most Affordable

While house prices have risen across the country, Perth values haven’t kept pace.

By Terry Christodoulou
Thu, Mar 3, 2022 1:41pmGrey Clock < 1 min

While Australia’s east coast has seen rapid price growth in recent times, Perth, with its median house price of $525,000 in February, is the most affordable capital city in Australia according to the latest data from Real Estate Institute of Western Australia.

REIWA President Damian Collins said the record housing boom made the east coast expensive.

“In Sydney and Melbourne, their median house sale prices sit above $1 million, pushing the dream of homeownership out of reach for many people,” Mr Collins said.

“We are lucky that owning your own home is still attainable for most people in Perth.”

According to REIWA, the WA suburbs that recorded the biggest median house sale price growth during February were Mount Nasura (+3.1% to $490,000), Nedlands (+2.1% to $2.1 million), Meadow Springs (+2% to $430,000), Hammond Park (+1.9% to $525,000) and Hammersley (+1.8% to $565,000).

According to REIWA there were 7892 properties for sale on reiwa.com, which is the same level seen in January and 13% lower than the end of November 2021.

It took 16 days to sell a property in February, the same as January and three days faster than February 2021.

MOST POPULAR

Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’

Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual

Related Stories
Property
Australian house values continue to fall – but the pace of decline has slowed
By KANEBRIDGE NEWS 01/12/2022
Property
Investor Home Purchases Drop 30% as Rising Rates, High Prices Cool Housing Market
By WILL PARKER 23/11/2022
NSW
Swanning by the park in Sydney’s west
By KANEBRIDGE NEWS 23/11/2022
Australian house values continue to fall – but the pace of decline has slowed

Data reveals house values have continued to decrease, but the rate has slowed as the RBA Board prepares to meet next week

By KANEBRIDGE NEWS
Thu, Dec 1, 2022 2 min

House values continued to fall last month, but the pace of decline has slowed, CoreLogic reports.

In signs that the RBA’s aggressive approach to monetary policy is making an impact, CoreLogic’s Home Value Index reveals national dwelling values fell -1.0 percent in November, marking the smallest monthly decline since June.

The drop represents a -7.0 percent decline – or about $53,400 –  since the peak value recorded in April 2022. Research director at CoreLogic, Tim Lawless, said the Sydney and Melbourne markets are leading the way, with the capital cities experiencing the most significant falls. But it’s not all bad news for homeowners.

“Three months ago, Sydney housing values were falling at the monthly rate of -2.3 percent,” he said. “That has now reduced by a full percentage point to a decline of -1.3 percent in November.  In July, Melbourne home values were down -1.5 percent over the month, with the monthly decline almost halving last month to -0.8%.”

The rate of decline has also slowed in the smaller capitals, he said.  

“Potentially we are seeing the initial uncertainty around buying in a higher interest rate environment wearing off, while persistently low advertised stock levels have likely contributed to this trend towards smaller value falls,” Mr Lawless said. “However, it’s fair to say housing risk remains skewed to the downside while interest rates are still rising and household balance sheets become more thinly stretched.” 

The RBA has raised the cash rate from 0.10 in April  to 2.85 in November. The board is due to meet again next week, with most experts still predicting a further increase in the cash rate of 25 basis points despite the fall in house values.

Mr Lawless said if interest rates continue to increase, there is potential for declines to ‘reaccelerate’.

“Next year will be a particular test of serviceability and housing market stability, as the record-low fixed rate terms secured in 2021 start to expire,” Mr Lawless said.

Statistics released by the Australian Bureau of Statistics this week also reveal a slowdown in the rate of inflation last month, as higher mortgage repayments and cost of living pressures bite into household budgets.

However, ABS data reveals ongoing labour shortages and high levels of construction continues to fuel higher prices for new housing, although the rate of price growth eased in September and October. 

MOST POPULAR
Bitcoin Hits New Highs

Bitcoin soared to an all-time high on Monday, hitting US$19,850 in the morning before again slipping below US$19,500 by the afternoon. It has nearly doubled in just the past two months. The cryptocurrency has been boosted by a flurry of endorsements from traditional investors, favourable government policies, and expanded access on investment apps, as Barron’s noted this …

A “starchitect” name adds to a building’s allure—and how much an apartment may sell for.

0
    Your Cart
    Your cart is emptyReturn to Shop