The affordable end of the Perth housing market is leading the charge
THE affordable end of the Perth housing market is its strongest performer following a slow down in growth in recent months. Check our interactive map to see how your suburb performed.
THE affordable end of the Perth housing market is the strongest performer following a slow down in growth in recent months.
As the market heads into the spring selling season new figures reveal house values have fallen marginally in Perth, by just 0.1 per cent in the three months to July.
The capital city has performed better than the rest of the state where values fell by 2.2 per cent during the same period.
Demand for housing was falling across Perth according to RP Data research analyst Cameron Kusher.
He said although home values had still risen during the past year the rate of growth was slowing and sales activity was lower than a year ago.
There were 43,074 houses sold in Western Australian in the past year and at the same time last year there were 43,609 sales.
Mr Kusher said the more affordable areas of Perth were enjoying the strongest housing market conditions at the moment.
There are 137 suburbs or towns in South Australia with a median house price of $400,000 or less.
At the other end of the scale there are 35 suburbs or towns with a median house price of $1 million or more, with Peppermint Grove recording the highest median house price of $3.465 million.
“With the slowing resources sector and the already falling sales volumes we don’t expect this year to be a strong spring,’’ Mr Kusher said.
He said values may trend even lower across Perth by the end of the year.
“The story is quite similar in the regional market with the slowing of demand for workers in resource areas this is impacting both sales, rental rates and home value in most regional areas of Western Australia.’’
After months of intensive research first homebuyer Braden Doherty has landed in Perth’s top performing suburb Hilbert.
Mr Doherty and his partner, Chloe Langdon, spent hours reading property forums, talking to developers and pouring over business plans.
Eventually the family settled on a 382sq m lot at $187,000 at Stockland’s Sienna Wood estate in Hilbert.
“For me it’s great to hear because it means we know we’ve made a smart investment choice,” Mr Doherty said.
Mr Doherty and Ms Langdon said they’d considered buying at estates in Byford, but felt Hilbert was more suited to their lifestyle.
“With the Byford estate, it still very much has a country image,” he said.
Despite the drop off, individual Perth suburbs have shown some strong results in the past quarter.
Hilbert, about 27km from the Perth CBD, was the strongest performer in the quarter to the end of May with its median house price jumping by 21 per cent to $640,000.
The suburb has a lot of new housing development underway
It was also a solid performer over the year with its median up by 22.4 per cent.
Mount Clarence, in the lower great southern region, was the standout performer for the year with its median house price up by 48.5 per cent to $470,000.
Kellerberrin in the Midlands also recorded significant growth in its median house price during the quarter, up by 38.4 per cent, although that was off a very low base and bought the median to only $90,000.
Canningvale was the suburb everyone wanted to live in with 560 houses sold in the past year.
It was by far way ahead of the next best performing suburb, Stirling, where 186 houses sold.
Furnissdale was the worst performer in the state for the quarter with its median house value down by 18.8 per cent to $345,000, while Herne Hill had the worst result for the year with its median down by 36.1 per cent to $386,500.
Check out the exclusive interactive map, What Your House is Worth, at the Perth Now website, perthnow.com.au, to see exactly how the housing market performed in your suburb.