Market stabilisation seen
Housing prices in Karratha and its surrounding areas have plummeted by half over the past couple of years, but experts are remaining positive about the future.
Real Estate Institute of WA Karratha branch chairman Richard Naulls attributes the drop to an unsustainable market.
“It was too expensive and the town couldn’t afford to have prices at that level,” he said.
Mr Naulls said the market had stabilised, which had prompted more activity.
“Since probably August last year, in 2015, we’ve seen a stabilisation so it’s been quite positive, in the regard of the number of leases being taken up and also the number of houses that have been selling,” he said.
First National Real Estate licensee Rita Pahl is positive about the market stabilisation and said now was the time to buy.
“Prices are where they should be,” she said. “The market is great. Rents have come down, but rents are still good.
“People are still getting good rental returns compared to Perth.
“Instead of it being a transient population that Karratha has been before, it’s stabilising the town — with all the people that are buying and with the families that are making their home in Karratha — that’s great for the businesses, schools, shops, workplaces, everything.”
Although the drop is bad news for those selling, the bigger picture reveals the Pilbara market is turning into a more traditional one.
“I think we’re in a more traditional real estate market so I think we’ll just stay stable and plateau for the next 12-15 months.
“After that time I think we’ll start seeing some slow growth back upwards,” Mr Naulls said.
Housing prices in Karratha and surrounding areas have fallen by half over the past couple of years.