The Perth suburbs and WA towns where homes are still cheaper than their peak

Home values are languishing below their peaks in a string of Perth suburbs and country towns despite the number of markets recording a million-dollar median value reaching a record high.

The range of historic peaks was wide, with some regional WA markets still below highs from the mining boom of the mid-2000s, and some just starting to slip from record highs reached this year, according to exclusive analysis by CoreLogic.

Perth property prices have continued to grow, but some areas have risen faster than others.

There were 38 house markets in Western Australia where values are below their record highs.

In Perth’s metropolitan region, North Dandalup was 17.6 per cent below the peak it reached in February 2007. The median house value has also slumped in Peppermint Grove, where it is 6.2 per cent below the peak it reached in July 2008.

North Coogee was the only other million-dollar Perth suburb to remain below its peak in June 2024.

But the biggest falls have been in WA’s country towns, notably our mining outposts, with South Hedland, Newman and Port Hedland in the Pilbara all down about 50 per cent from their peak in 2012.

The Kimberley towns of Broome and Cable Beach also remain below the heady peaks they reached in 2007.

CoreLogic head of research Eliza Owen said of the 559 house and unit markets measured across WA at the suburb level, 60 were down from historic highs.

“House values in South Hedland were down 57.8 per cent from a high in September 2012, despite being a little higher in the past year, values have a long way to recover, and the recovery trend remains tentative in outback markets,” she said.

“At the other end of the spectrum, it looks as though Erskine units have slipped just 0.1 per cent below the high reached in August this year, as well as houses in York.”

Hotspotting director Terry Ryder said capital city and regional markets never stayed at the top or bottom of market cycles forever, but there were some clear property winners and losers at present.

“Many real estate consumers are herd animals and pile into property markets when the media tells them a boom is happening, which is what happened in Perth this year when it was actually at, or near, the peak of the current cycle,” he said.

“Brisbane, Adelaide and Perth have been the market leaders for dwelling price growth for the past year or two, and this state of play is set to continue – with increasing pivots to units – as well as minor moderations in property price rises.

“It’s important to note that regional markets across Queensland and South Australia are also firing on all cylinders, however, regional WA has a more balanced market but is still one that is outperforming the likes of regional Victoria.”

General manager Tim Graham said the Perth boom remained strong, amid widespread fears that this market was overheated and that buyers, most notably east coast investors, were buying recklessly without appropriate due diligence.

“Nevertheless, sales volumes are still elevated, with the shortage of homes for sale being relieved recently by an increase in listings,” he said.

“Many of the Perth LGAs have high sales volumes, notably inner-city markets where affordable units dominate the real estate landscape.

“Some of the cheaper housing markets are a little less buoyant than before, with buyers seeking affordable options switching their focus to units in good locations close to the centre of Perth.”

Australia’s property market reached a new milestone, with the total value of residential real estate climbing to $11 trillion for the first time, increasing by $900 billion over the past 12 months, according to CoreLogic’s October Monthly Housing Chart Pack.

Economist Kaytlin Ezzy said Perth values reached a record high and experienced the highest monthly, quarterly and annual growth (24 per cent), driven by sustained demand and limited supply.

“As we move through spring, we’re likely to see further moderation in value growth as new listings continue to rise, providing some relief for buyers who have faced intense competition over the past year.”