Southern Gazette (South Perth) - - RESIDENTIAL -

PERTH’S prop­erty mar­ket is show­ing signs it is start­ing to sta­bilise, ac­cord­ing to the lat­est pre­lim­i­nary data from

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.

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