PERTH MARKET STEADYING: REIWA
PERTH’S property market is showing signs it is starting to stabilise, according to the latest preliminary data from REIWA.com.
The figures show the median house price increased to $540,000 for the three months to December 21, up nearly 1 per cent on the month prior.
REIWA president Hayden Groves said an increase in the median price along with a fall in the number of properties for sale were indicators characteristic of a market that was beginning to steady.
“The total number of listings as at December 31 was 14,539 – an adjustment from the November figure of 16,475, which is mostly attributed to the effect the holiday season has on seller behaviour,” he said.
“Our latest preliminary data for the three months to December 2015 showed sales volumes sitting at 1318, down from 1700 in November.
“While it is not uncommon for sellers to withdraw their properties from sale during the festive season, we’re also seeing the impact the removal of the First Home Owner Grant is having on sales volumes.
“The test will be to see how many properties come to market by the end of January.”
Mr Groves said further analysis showed there was a higher demand in the trade-up sector of the market, with four-bedroom properties priced between $500,000 and $600,000 taking 47 days to sell – significantly less than the market average of 60 days.
“Fewer than 50 per cent of sellers are discounting in this price range, further demonstrating the demand in the trade-up market,” he said.
“In contrast, between 50 and 70 per cent of sellers are discounting their properties in the first-home buyers price bracket, which again highlights the softening demand since the removal of the First Home Owner Grant for established homes.”
Numbers also showed the Perth rental market had also stabilised with the overall median rent increasing by $5 to $400 in December.
The median house rent is now $410 – an increase of 2.5 per cent or $10 – while the median weekly unit rent has increased 1.3 per cent to $380.