Perth continues to lead nation in property growth
In December 2024, CoreLogic reported a 0.1% decrease in residential property values across Australia. However, Perth saw a modest increase of 0.7%, maintaining its position as the top-performing capital city for the 15th consecutive month. Adelaide followed with a 0.6% increase, while Brisbane and Darwin saw modest gains of 0.5% and 0.4%, respectively. In contrast, Melbourne (-0.7%) and Sydney (-0.6%) recorded the largest declines. (CoreLogic, 2024)
Over the past quarter, Perth experienced the highest increase in dwelling values among all capital cities in Australia, rising 1.9% quarterly and 19.1% annually (CoreLogic, 2024).
Property listings rise in Perth
According to the REIWA, there were 4,307 properties listed for sale in the week ending 5 January 2025. This marked a decrease from the 5,558 listings recorded four weeks prior but was an increase compared to 3,633 listings in the same week last year. (REIWA, 2025)
The median time to sell a house in Perth increased to 15 days in December 2024, which is 5 days slower than the same time the previous year. The time to sell a unit also increased to 15 days during this period. (REIWA, 2025)
The graph below demonstrates the downward trend of stock availability within the Perth market to the week ending 5 January 2025.
Source: REIWA and Momentum Wealth Research
Rental market maintains stability
According to REIWA, Perth’s median rental dwelling price remained stable at $650 per week in December 2024, although this represents an 8.3% increase from the previous year. The median rental price for houses remained unchanged at $670 per week, while the median rental price for units rose to $650 per week. In recent months, rental prices have stabilised, indicating that the market may have reached its affordability limit. As a result, many renters are turning to alternatives such as shared accommodation or more affordable units to manage the rising costs.
In the week ending 5 January 2025, there were 1,934 properties listed for rent in Perth. This is down from the 2,257 listings recorded four weeks earlier but an increase from the 1,825 listings at the same time last year. (REIWA, 2025)
The graph below shows the number of homes available for rent and Perth’s vacancy rate.
Source: REIWA and Momentum Wealth Research
In December 2024, Perth’s vacancy rate rose to 1.9%, the highest level since August 2020. While the vacancy rate has increased in recent months, it remains below the 2.5 to 3.5% range expected for a balanced market. The median time to lease a property remained stable at 15 days, unchanged from both the previous month and 12 months ago. (REIWA, 2024)
Perth remains amongst the most affordable cities
According to the Real Estate Institute of Australia (REIA), housing affordability within Australia has reached its lowest level since REIA started monitoring this data in 1996. In their latest data for the September 2024 quarter, the proportion of income required to meet the average loan repayment nationally rose by 0.4% to 48.6%.
In Western Australia, the average family contributed 39.8% of their income towards mortgage repayments during this period, up slightly from the 39.5% recorded in the previous quarter. Along with the Northern Territory and Australian Capital Territory, Western Australia remains one of the most affordable regions in the country.
New South Wales continues to be the least affordable state, with homeowners allocating 58.1% of their income to mortgage repayments, up from the 57.9% from the previous quarter as house prices continue to rise. The Northern Territory and Tasmania were the only states to see slight improvements in affordability. (REIA, 2024)
Source: REIA