The suburbs tipped to outperform Perth’s property market in 2024

Well-located suburbs close to the city are tipped to outperform the Perth property market this year, according to a new analysis.

Herron Todd White director Chris Hinchliffe said there was strong demand for properties in Dianella, Morley, Karawara and Cloverdale as well as apartments and luxury homes.

“Demand remains supercharged in these areas, as seen by 17 Donna Street, Morley, a renovated 1970s four-bedroom, one-bathroom home on a 414-square-metre allotment,” he said.

“The property was sold for $665,000 within one week of being listed, not bad for a property just eight kilometres from the CBD.”

An unrenovated home on Wattle Drive in Morley sold in November for $635,000, 22 per cent above its July 2022 purchase price.

Hinchliffe said other suburbs expected to perform well this year were Mandurah and Medina, ranked fifth and sixth, respectively, on the top 10 most affordable capital city suburbs for houses in Australia, according to PropTrack based on the average market value over a 12-month period.

“These suburbs have seen good growth over the last few years whilst remaining an affordable option,” he said.

“As an example, 34 Crabtree Way, Medina sold for $447,500 in November 2023. This renovated 1950s weatherboard four-bedroom, one-bathroom home on 728 square metres achieved 22.6 per cent growth in less than two years since it was purchased in January 2022 for $365,000 and has since been leased for $550 per week.”

Hinchcliffe also expected more “trophy home” sales in 2024 off the back of dramatic increases in equity positions and the extraordinarily strong performance of many WA businesses over the past few years.

“One simply needs to drive through our prestige areas to witness the amount of construction taking place to understand that there is a significant level of equity at the upper end, but the lack of quality stock coming to market has resulted in a need to build rather than buy the perfect established home,” he said.

“There are a handful of properties currently listed for sale above $10 million, but some of these have been listed for a while and are yet to transact – that perfect buyer just hasn’t shown up.”

One example of an executive, high-end home on the market available to those with deep pockets, includes 9 King Albert Road in Trigg, a four-bedroom, four-bathroom architecturally designed tri-level home overlooking Trigg Point, currently being offered from $12 million.

Ray White Group chief economist Nerida Conisbee said the key trend was affordability, with low-cost housing generally selling the quickest.

“Of the top 100 quickest selling suburbs in Australia, 84 of them are in Perth,” she said.

“Topping the list are Seville Grove, 30 kilometres south-east of Perth, and Cooloongup, 40 kilometres south of Perth. Both are very affordable with medians under $500,000.

“Almost all of the quickest-selling suburbs had a median under $750,000, with the most expensive of the top 100 quickest selling was the suburb of Mount Claremont, which has a median price of $1.78 million.”

According to the latest data from CoreLogic, house values in Perth rose 0.5 per cent last week, up 1.6 per cent for the month and 17.8 per cent over 12 months.

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