Southern Gazette (South Perth) - - RESIDENTIAL -

PERTH’S prop­erty sales and rental mar­kets ended the year on a pos­i­tive note, ac­cord­ing to the lat­est data.

The Perth me­dian house price in­creased for the sec­ond month in a row, up 1.9 per cent to $535,000 in the three months to De­cem­ber 2016.

REIWA pres­i­dent Hay­den Groves said it was a wel­come trend and sug­gested that the trade-up sector of the mar­ket was re­cov­er­ing. “Since the sec­ond half of 2016, we’ve seen prices across the metro area start to lift on a monthly ba­sis,” he said.

“If you’re a buyer wait­ing for the ‘bot­tom of the mar­ket’, you would be wise to make a buy­ing de­ci­sion soon should this trend con­tinue.

“The ben­e­fit of buy­ing now is that there is cur­rently less com­pe­ti­tion from other buy­ers, so you’re more likely to find a home or in­vest­ment prop­erty that gen­uinely meets your needs.”

List­ings for sale in Perth de­clined 11 per cent in De­cem­ber, with 13,883 list­ings recorded in the metro area.

“It’s not un­usual for list­ing vol­umes to drop off in De­cem­ber as the mar­ket tends to be qui­eter over the fes­tive pe­riod,” Mr Groves said.

“More sig­nif­i­cantly though, list­ings in De­cem­ber 2016 were 3 per cent lower than in De­cem­ber 2015, which is a good in­di­ca­tion that we’ve seen sup­ply peak.”

In line with sea­sonal trends, leas­ing ac­tiv­ity soft­ened slightly in De­cem­ber, fall­ing 2 per cent over the month. On a very pos­i­tive note, ac­tiv­ity was 27 per cent higher than in De­cem­ber 2015.

“We ex­pect to see a slow­down in leas­ing ac­tiv­ity across the month as peo­ple pre­pare for the hol­i­days, so a 2 per cent drop isn’t a con­cern,” Mr Groves said.

“The hike in the num­ber of prop­er­ties leased on an an­nual ba­sis how­ever is very pleas­ing and there’s been a sig­nif­i­cant in­crease com­pared to the same time in De­cem­ber 2015.

An­other pos­i­tive sign for the Perth rental mar­ket was that the me­dian house and unit prices re­mained steady over the three months to De­cem­ber 2016, at $380 and $340 per week re­spec­tively.

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