As the spring selling season begins, the spotlight is on Perth, where demand for affordable properties is surging.
Nerida Conisbee (pictured above), chief economist at Ray White, highlighted Perth’s ongoing price growth.
“Perth house prices increased by one per cent over the month and over 23% for the year,” Conisbee said.
Even unit prices have followed suit, with a 20% rise over the past year.
This growth continues despite weak demand for key commodities like iron ore and lithium, which typically influence Perth’s market.
The rise is likely driven by increasing construction costs and population growth.
Australia’s most expensive homes are showing signs of price slowdowns, likely reflecting the extended impact of rising interest rates.
“In comparison, our most expensive homes have seen a price slowdown,” Conisbee said.
Historically, high-end properties have outperformed the rest of the market in the long term, but current economic pressures are curbing this trend.
While Perth leads, other markets such as Adelaide and Brisbane are also experiencing above-average growth.
Brisbane is nearing a median price of $1 million, although it remains behind Melbourne in terms of overall cost.
In both Adelaide and Brisbane, unit prices are growing faster than house prices, signaling increased demand for more affordable housing options in these cities.
Despite rising concerns about weakening demand, Sydney and Melbourne continue to see modest price increases. Both cities recorded gains of at least 0.2% in September, with Melbourne showing the slowest growth but still reporting year-on-year increases.
Auction activity has slowed in these major markets, with fewer active bidders and more properties entering the market, yet price growth persists for now, Ray White reported.
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