LAND PRICE IN­CREASE:

Hills Gazette - - FRONT PAGE -

FALLING sup­ply has seen Perth va­cant land price in­crease 3.7 per cent in the June quar­ter, ac­cord­ing to pre­lim­i­nary fig­ures from Ur­ban De­vel­op­ment In­sti­tute of Aus­tralia (UDIA WA).

The av­er­age price of land in the Perth met­ro­pol­i­tan and Peel area was $232,348, up from $224,033 in the March quar­ter.

“This mod­er­ate in­crease is a sign of pos­i­tive things to come for the prop­erty mar­ket in WA,” UDIA WA chief ex­ec­u­tive Al­li­son Hailes said.

“The in­crease in price has gone hand in hand with a de­crease in the num­ber of lots on the mar­ket. Prices de­clined for three con­sec­u­tive quar­ters prior to this in­crease.

“This was due to more stock on the mar­ket and less de­mand for land from con­sumers.”

The num­ber of lots on the mar­ket as at June 30, 2017, was down 9 per cent com­pared with March 31, 2017, in Perth and Peel.

“We are now see­ing stock on the mar­ket re­turn back to more nor­mal lev­els and, in turn, a strength­en­ing in val­ues,” Ms Hailes said.

The North East Met­ro­pol­i­tan growth cor­ri­dor recorded the big­gest share of sales ac­tiv­ity for the quar­ter, with a 28.4 per cent pro­por­tion of all sales.

“The North East cor­ri­dor in­cor­po­rates the City of Swan where hous­ing de­vel­op­ments are at­tract­ing new home buy­ers,” Ms Hailes said.

“It is also the most af­ford­able area, with the av­er­age price at $219,895.”

The South West Met­ro­pol­i­tan cor­ri­dor recorded the sec­ond high­est pro­por­tion of sales (27 per cent), with the coastal ar­eas of Kwinana, Rock­ing­ham and Cock­burn all at­tract­ing buy­ers.

“Prices are slightly higher in the South West cor­ri­dor, with an av­er­age of $237,133. The av­er­age price in this area would be pushed up by the more pre­mium coastal de­vel­op­ments in Cock­burn in par­tic­u­lar,” Ms Hailes said.

Ms Hailes said the out­look was pos­i­tive.

“Over­all, Perth prop­erty is be­gin­ning to show signs of re­cov­ery and along with the pos­i­tive eco­nomic re­ports re­leased last week pre­dict­ing broader eco­nomic growth for WA next fi­nan­cial year, we have ev­ery rea­son to be hope­ful,” she said.

IN the four weeks to July 17 there were 162 lo­cal prop­erty sales across houses, units and land which is an in­crease of 1 per cent over the four­week pe­riod.

Com­pared to the same time last year, sales are lower by 2 per cent.

The over­all Perth mar­ket sales in­creased to 2351, a rise of 7 per cent over the four­week pe­riod and re­mains 8 per cent higher than the same time last year.

High Wy­combe tops the list for the high­est num­ber of sales at 16.

Prop­er­ties avail­able for sale in the lo­cal area de­creased by 5 per cent over the last four weeks but are 5 per cent higher than the same time last year. Total list­ings in the Perth metro re­gion de­creased by 7 per cent over the four-week pe­riod and are 4 per cent lower than the same time last year.

The av­er­age time to sell in the lo­cal area in­creased by eight days to 86 days for the three months to June 2017.

The av­er­age time to sell in the Perth metro re­gion has in­creased by three days to 70.

REIWA mem­bers re­ported 185 total prop­er­ties (houses and units) leased for the four­week pe­riod, a de­crease of 11 per cent over the last four weeks but 9 per cent higher than the same time last year.

List­ings in the Hills Gazette area have risen by 8 per cent in the four-week pe­riod and are 17 per cent higher than the same time last year. The over­all mar­ket has seen list­ings re­main sta­ble over the four-week pe­riod but are 5 per cent lower than the same time last year.

The over­all me­dian weekly rent for the lo­cal area for the three months to June 2017 is $340/week, which is $30 lower than the three months to June 2016. Sim­i­larly, the over­all me­dian rent for Perth has seen a $30 de­crease in the three months to June 2017.

Av­er­age time to rent in the lo­cal area has in­creased to 55 days in the three months to June 2017.

Al­li­son Hailes.

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