Archive for Real Estate Market

Housing affordability has declined in all states and territories, according to a new report.

New report shows housing affordability has declined in Western AustraliaNEW
12 March 2018

The Real Estate Institute of Australia (REIA) have released the findings of its latest Housing Affordability Report, which found housing affordability declined in Western Australia in the December 2017 quarter.

The national report, which is produced in partnership with Adelaide Bank, showed housing affordability had declined across all states and territories, and rental affordability had declined in every state and territory except for Western Australia and New South Wales.

REIA President Malcolm Gunning said a coordinated and aligned approach by all three levels of Government were needed to address the housing affordability issue.

“We need to address this with some urgency and reform the planning and approval process. We need all tiers of Government involved and implementing change.

“REIA believes a first step in this is the appointment of a Minister of Property Services. This would also recognise the importance of the property sector as a driver of economic growth and employment. Property investment supported by historically low interest rates has been a significant contributor to growth in the Australian economy since 2013-14 as we transition away from a decade-long reliance on mining,” Mr Gunning said.

Housing affordability results for WA
There was a mixed bag of results across WA in the December 2017 quarter, with housing affordability worsening over the quarter but improving when compared to the December 2016 quarter.

The report found the proportion of income required to meet loan repayments increased 1.5 per cent to 23.9 per cent in the three months to December 2017 and declined by 0.3 per cent decline compared to the December 2016 quarter.

First home buyers

The number of first home buyers in WA decreased to 3,996 in the December 2017 quarter, a decrease of 9.8 per cent over the quarter but an increase of 4.9 per cent compared to the same time last year.

Of all Australian first home buyers over the quarter, 12.9 per cent were from WA, while the proportion of first home buyers in the state’s owner-occupier market was 34 per cent.

The average loan to first home buyers increased to $316,067, an increase of 4.1 per cent over the quarter but a decrease of 1.5 per cent compared to the December quarter 2016.


The total number of loans (excluding refinancing) in WA decreased to 11,744, a decrease of 4.2 per cent over the quarter and a decrease of 2.7 per cent compared to the same time last year.

The average loan size increased to $352,796, an increase of 6.8 per cent over the quarter and 0.5 per cent compared to the December quarter 2016.

Perth rental market

Rental affordability in WA remained stable during the December quarter, with the proportion of family income required to meet the median rent remaining at 16.4 per cent, the same as the previous quarter but a decrease of 1.3 percentage points compared to the year before.

For more information about the WA property market, visit the WA market page.

Regional WA outperforms Perth for price growth in latest quarter

Regional WA’s overall median house price increased 2.9 per cent during the December 2017 quarter, outperforming the Perth Metro region.

REIWA President Hayden Groves said eight regional centres experienced positive median house price growth, with Karratha the top performer with a 13.5 per cent improvement.

“Busselton, Albany and Esperance also recorded strong price growth, lifting 9.8 per cent, 7.2 per cent and 6.3 per cent respectively.

“Pleasingly, house prices improved across the board, with centres both north and south of Perth showing positive growth. Consumer sentiment in WA improved considerably in the December quarter, up 13.5 per cent which has had a positive flow on effect to the property market. West Australians are feeling more optimistic and buyer enthusiasm is returning,” Mr Groves said.

Kalgoorlie/Boulder, Northam and Port Hedland were the only regions to record declines.

“After recording a significant 19.5 per cent increase in median house price in the September quarter, Port Hedland’s median house price had a minor adjustment in the December quarter,” Mr Groves said.

View the REIWA Regional WA Outperforms Perth for Price Growth

Perth property market begins its recovery in December quarter

Perth property market begins its recovery in December quarterNEW
06 February 2018

The Perth property market ended 2017 on a positive note, with December quarter data showing improvements in median prices, sales activity, listing levels and average selling days.

REIWA President Hayden Groves said it boded well for Perth that all key indicators had improved over the quarter.

“The Perth market found its floor and stabilised in the back half of 2017. We now appear to be entering a recovery phase, though REIWA remains cautious about expectations of rapid growth in the next 12 months,” Mr Groves said.

Median house and unit price
Perth’s preliminary median house price increased 1.2 per cent to $516,000 in the December quarter 2017.

“Once all sales have settled, we expect the final December quarter median to lift to $520,000, which is a notable improvement on the September quarter median of $510,000.

“On an annual basis, the Perth market is very stable. We’ve observed consistent price levels between the December 2016 and 2017 quarters which is a strong signifier the market has turned a corner,” Mr Groves said.

Perth’s median unit price is $405,000 for the December 2017 quarter which is a 1.3 per cent increase on the September quarter.

“It’s encouraging to see Perth’s house and unit medians increase over the quarter because it suggests one sector hasn’t recovered at the expense of the other,” Mr Groves said.

Sales activity
There were 4,946 dwelling sales in Perth in the December quarter.

Mr Groves said this figure was expected to lift to 6,700 once all sales had settled, putting it significantly above the September quarter sales figure.

“Traditionally, the September quarter outperforms the December quarter, but that wasn’t the case in 2017. The December quarter is on track to record 14 per cent more sales than the September quarter,” Mr Groves said.

REIWA analysis shows the composition of sales shifted in the December quarter in Perth, with more transactions occurring above $700,000.

“We’ve observed a surge of activity in Perth’s aspirational suburbs, with buyers recognising there is good opportunity to secure a home in these areas which might have previously been considered unattainable by many,” Mr Groves said.

“This spike in sales above $700,000 has also contributed to Perth’s median house price increasing over the quarter.”

Listings for sale
There were 13,088 properties for sale in Perth at the end of the December quarter.

Mr Groves said this was on par with the September quarter figure and six per cent less than the December 2016 quarter figure.

“There were 800 fewer listings in Perth at the end of 2017 than there was in 2016 and some 1,300 less than there were at the same time 2015. We have consistently seen stock levels decline over the last two years as the market trends towards parity,” Mr Groves said.

“Declining listing levels combined with notable improvements in sales activity has helped restore net-demand. With buyer activity increasing, stock levels are being absorbed faster,” Mr Groves said.

Average selling days
It was 10 days faster to sell in the December quarter than it was in the September quarter, with it taking on average 60 days to secure a sale.

It’s been two years since it was this quick to sell in Perth. The combination of sellers’ preparedness to meet the market and buyer appetite for well-priced property has significantly shortened days-on-market,” Mr Groves said.

View more WA market information

Looking for a rental by the beach?

Looking for for a rental?

This property on the heart of Sorrento, steps away from the beach it will be available for Christmas!

1/14 Padbury Circle in Sorrento is a delightful 2 bedrooms, one bathroom, ne double lock up garage, small courtyard asking $360 a week.

ocean glimpses from the lounge window.

New listing: The Entrance to Paradise

Magnificent gardens and luxurious roses await you beyond the electric gates.
This is a place where you wake up in the morning to the sounds of nature, experiencing a magical moment in your life.
A self-sufficient wonderland – only in Perth could you reside on a 13,000 square meter block with manicured lawns and gardens and still be only a 30 minute drive from the CBD.
But it’s the stillness and peace of mind that will disarm you, which only a property like this can provide.
Impeccably presented family sized home in a semi-rural Eden replete with fruit and nut orchards, vegetable beds and vineyards.
It is like a country /colonial style home with all the modern amenities. The grand formal areas dress to receive the most prestigious visitor.
Reverse cycle air con throughout the house.
This is one home that truly must been seen to be appreciated. Come experience the country charm and to hear the sound of the birds.

• Vast, open-plan kitchen, with adjoining meals/family areas – all high ceilings
• Large master bedroom with adjoining ensuite boasting oversized shower and separate toilet
• The children’s wing has 3 other spacious bedrooms all with built in robes, another complete bathroom and an
activity area. There are 4 toilets in total in the property
• Sunken lounge with a log fire and formal dining room
• Stunning chef’s kitchen with feature granite tops, dishwasher and plenty of storage / bench space and casual
meals area, family room with wood fire
• Separate Games/theatre room with bar
• Study
• A well-appointed laundry with plenty of storage and bench space and its own separate toilet
• Office totally separated from the home with a powder room which can be converted into granny flat/teenagers
• Security alarm system

• Amazing rear yard space with huge all-weather pitched patio area complete with pizza oven and barbecue
• A large gazebo with pitched roof for entertaining
• A massive cellar with sink
• Abundance of native Australian flora and fauna plus fruit and nut orchards, including citrus and stone fruits such as peaches, nectarines, apricots, loquats (agent’s favourite), three varieties of plums, apples, pears, avocados, custard apples (another agent favourite), figs, olives, macadamias and almonds
• A healthy vegetable garden and producing vineyard
• How can you forget the roses? The most amazing quantity of species throughout the garden
• Exterior lights surrounding the property all the way to the vineyard

• Water licence, with 14 stations to maintain the property
• Reverse cycle air-conditioning
• Children’s playground
• 2 cubby-houses/lookout for children and adults
• Two fireplaces
• Solar hot water
• Lock-up electric gate
• Exterior lights around the property
• Couple of large sheds

The worst is likely over for the Perth property market with stable conditions recorded in September quarter

The Perth property market continues to stabilise with preliminary September quarter data revealing steady or improved levels across most key market indicators.

REIWA President Hayden Groves said conditions in the September quarter had mirrored those experienced in the June quarter, which indicated the Perth property market may have finally found its floor.

“We’ve observed six months of stable conditions, with both the June and September quarters posting consistent results. Historically, before a market improves there is a sustained period of level stock, sales activity and house prices, which is what we appear to be witnessing at the moment,” Mr Groves said.

Median house and unit price
Perth’s preliminary median house price for the September quarter came in at $499,000.

“Once all sales have settled, we expect the revised September quarter median to lift to around $515,000, an increase on the June quarter’s $510,000 median,” Mr Groves said.

REIWA analysis shows Perth’s median house price only experienced a marginal one per cent decline when compared to the same time last year.

“Comparatively, between the September quarters in 2015 and 2016, Perth’s quarterly median house price declined by 2.3 per cent. These longer term trends are a good indicator as to the positive direction the market is headed, as the rate of decline is slower than it was two years ago,” Mr Groves said.

Perth’s preliminary median unit price is $395,000 for the three months to September. data projects this figure will lift to $407,000 once all sales have settled, putting it on par with the June quarter median.

“It bodes well for the market that Perth’s house and unit prices are exhibiting signs of recovery simultaneously,” Mr Groves said.

Sales activity
There were 6,960 property sales in Western Australia in the September quarter.

Mr Groves said this preliminary figure was expected to lift to around 8,000 once all sales had settled.

“In the Perth metro region, property sales increased in the September quarter. Once all transactions have settled, we expect sales to exceed 6000, up from 5,730 in June quarter.

“REIWA analysis shows despite softer market conditions, this quarter’s projected sales figure is not far off the 10 year quarterly average of 6,780. Given the challenging economic factors facing the state, it’s a testament to the strength of our local market that it has held up relatively well through the downturn,” Mr Groves said.

Listings for sale
Stock levels in Perth continue to decline, falling from 14,071 at the end of June 2017 to 13,043 at the end of September.

Mr Groves said after a prolonged period of rising listings across the metro area, it was pleasing to see substantial declines occurring.

“The September quarter listing figure is 7.3 per cent lower than the figure recorded at the end of June and 7.9 per cent lower than the figure recorded at the end of September 2016.

“With sales activity trending up and listing levels declining, this has improved net demand across the metro area and contributed to the healthy sales figures we’ve seen this quarter,” Mr Groves said.


Average selling days and discounting

It took on average 70 days to sell a house in Perth in the September quarter.

“This quarter’s average selling day figure is two days slower than it was in the June quarter, but two days faster than it was in the September quarter 2016,” Mr Groves said.

The proportion of vendors required to discount their asking price improved to 53.4 per cent in the September quarter. This is 1.8 per cent less than the June quarter and 4.5 per cent less than the same time last year.

“It’s pleasing to see fewer sellers needing to reduce their asking price. It means they are listening to the advice of their REIWA agents and pricing their homes competitively from the start, negating the need to discount their original asking price,” Mr Groves said.

See the original article here.


Good opportunity for buyers near Perth’s inner city

Good opportunity for buyers near Perth’s inner city NEW
09 September 2017
Author: REIWA President Hayden Groves

If you were to ask people in Sydney or Melbourne whether it was possible to secure a house – not just an apartment, but a house – within 10 kilometres of the CBD for under $500,000, you’d likely be met with mirth.

Purchasing any property in Sydney or Melbourne for under $500,000 is challenging, let alone finding a property for that price just a few kilometres away from the city. It’s this point of difference that keeps the dream of home ownership alive for many more people in Western Australia than it does in other parts of the country.

For instance, unlike the major markets on the east coast, you don’t need to move miles away from the city to be able to get onto the property ladder. There are numerous suburbs within 10 kilometres of the city that offer fantastic value to savvy buyers and investors.

Perth’s 10 cheapest suburbs within 10 kilometres of the CBD
A recent report by revealed Perth’s 10 cheapest suburbs within 10 kilometres of the city. Nollamara, located 10 kilometres north of the CBD, took out first spot with a median house price of $410,000 for the year to June 2017. This is extraordinarily good value, and doesn’t even factor the suburb’s lower quartile price, which sits at $375,000.

Other suburbs to make the list were Cloverdale, Belmont, Redcliffe, Bentley, Embleton, Osborne Park, Kewdale, Morley and Carlisle. And of these 10 suburbs, seven were located east of the city.

The eastern corridor of Perth’s inner city is a growing area that presents particularly good value. With the Perth Stadium and surrounding infrastructure nearing completion, the opportunity is certainly there for savvy buyers and investors to purchase in a fast growing area at a relatively affordable price.

Get in quick!
We are very lucky here in Perth that there are still great bargains to be had in and around the CBD, but as WA’s population inevitably grows, it is unlikely inner city living will remain this attainable. By 2050, the state’s population is expected to have almost doubled, and as we’ve seen in most major cities around the world, as population density increases so too does the cost of real estate.

The Perth property market currently favours buyers, but property markets are cyclical and conditions will change. With signs emerging that we may have finally found, or be close to finding, the ‘floor’ of our local housing market, I would advise buyers to act sooner rather than later if you’re wanting to secure an affordable house close to the city.

Speak to a local REIWA agent in your area to discuss the options available to you.

Perth rental market subdued in June quarter, but annual leasing figures remain strong

Leasing activity in Perth was more subdued in the June quarter than it was in the March quarter, but when compared to the same time in 2016 data shows leasing levels in Perth increased by six per cent.

REIWA President Hayden Groves said although activity had dropped off across the metro area in the three months to June, annual activity levels had continued to improve.

“The data for the June quarter 2017 clearly shows an uptick in activity on an annual basis across the board, which is pleasing. We’re seeing notably more properties being leased now than we were this time last year.

“All five sub-regions saw lifts in their annual activity levels. The stand out performers were the South East and Central sub-regions, which improved by 10.5 per cent and 6.6 per cent respectively when comparing June quarter 2017 to June quarter 2016,” Mr Groves said.

Despite Perth experiencing a decline in activity on a quarterly basis, there were a number of suburbs throughout the metro area which saw the volume of leased rentals increase over the quarter.

“Huntingdale, Booragoon, Bedford, Aubin Grove and Sorrento saw the biggest improvement in leasing activity in the three months to June 2017,” Mr Groves said.

Median rent price
Perth’s overall median rent price softened in the June quarter, edging back slightly to $350 per week from $360 in the March quarter.

Mr Groves said this was a trend felt across each of the sub-regions, but a number of suburbs had stood out over the quarter, recording increases in their overall median rent price.

“Karrinyup in the Central sub-region was the best performing suburb for rent price, with its overall median lifting to $570 per week for the three months to June.

“Other suburbs to record positive growth to their median rent prices were Booragoon, East Fremantle, Mount Pleasant and Mindarie,” Mr Groves said. data shows the median house rent price for the three months to June came in at $360 per week, while Perth’s median unit price was recorded at $330 per week.

Average leasing days
It took an average of 52 days for Perth landlords to secure a tenant for their rental in the June quarter.

Mr Groves said the figure recorded for the three months to June was fairly steady on the March quarter, having only increased by one day.

“This stability was felt across all sub-regions, with only minor changes recorded in the average leasing day figure for the June quarter. The North West sub-region was the only sub-region to experience a reduction in the number of days it took to lease a property, while the South East sub-region saw no change,” Mr Groves said.
Transcript from REIWA

My birthday is coming up on August 14th. It is a big one: what do I want? Listings! Can you help?

Houses, duplexes, investments, blocks, anything. I want to sell them all!

Why would you give them to me?

I would like to answer that is your trust in me that will bring you the premium price for your asset.

I am refreshed, charged up after a long holiday visiting relatives and ready to work for another 3 years to be able to go back and visit my family again. In the meantime I want to my to keep myself busy doing what I do best: selling real-estate.

How about making it your gift to me?

Call anytime and I will be there before you can say ‘Jump!’ Appraisals are still free if you wish only to find out how much your property is worth. Maybe you have a friend that you can refer to me?

Or if you want just a chat about anything related to real-estate, like refinancing, renting, house-sitting, market statistics, interest rates, if you’re wondering ‘shall I sell, develop, or sit on it?’

What can I see in my crystal ball in the future?

I am a call away: 0416188752

Across from a park!

Oops! I think by the time you read this newsletter the house will be sold. Listed and sold in 6 days. It is a record in today’s market.

Situated on a corner block, across from Seacrest Park, some ocean glimpses from kitchen window. Fabulous double car garage to house 5 cars.

Accommodation consists of a large master bedroom with separate en suite, reasonable size walk-in robe. Additionally there are three bedrooms, 2 of which equipped with double wardrobes and the fourth bedroom can also have multiple uses like office ( working from home), hairdressing salon or activity area with access from garage. 2 bathrooms and study.

This family home is perfect for outdoor entertaining, with sufficient space for the new owners to install a pool, allowing you to enjoy the company of others.

Approved plans to build up and enjoy the most fantastic views of park and the ocean.

There is nothing left to do but move in and bask in the Sorrento lifestyle, which is ideally located in close proximity to public transport, prestigious schools and the tantalising tastes and sounds of this beachside suburb. Around the corner from Sacred Heart College.

The main hub is a combined family and meals zone that benefits from an open-plan layout and is where most of your casual time will be spent, flowing on from a stunning kitchen that is loaded with extensive storage options and comprises of an island work and breakfast bench, dishwasher,a double sink, a commercial range hood.

Walk to a plethora of local parklands, as well as the nearby Sorrento Medical Centre and Harman Road Medical Centre, whilst Sorrento Primary School, Sacred Heart College, Seacrest Park’s lush playing fields, Hillarys Boat Harbour, beaches, Sorrento and Marmion, popular cafes, award-winning restaurants, public transport and convenient freeway access are all only a matter of minutes away from this very special residence. The coast is clear – make your move, today!


· 4 bedrooms

· 2 bathrooms

· Study

· 3 split reverse cycle air conditioning

· Garage for 5 cars

· Hardwood floors throughout

· Sunken Lounge and Family room

· Bedroom/office/activity area

· Aproved plans to build up

A new trend or a new way to sell your property: Open Negotiation

It is like an Auction but more transparent. You bid online or with your Agent.
The benefits of why buyers would get themselves registered straight away and not wait until a week before the Open Negotiation starts.

This is what we say to them is… ‘the benefit for you registering today is if the owner accepts your terms and conditions and we sign off on those terms, this means you are ready to participate in three to four weeks.

If someone then puts in an offer that the owner actually would like to accept as early as tomorrow, the sale could start earlier. By being Terms Accepted this means we cannot sell the property to that person without letting you know. You will then be able to compete with that person on the home you love because we can start the Open Negotiation early.’

That is the benefit for buyers to get involved straightaway and to get their terms and conditions accepted as soon as possible so that they don’t miss out on the property. It costs them nothing to be able to register and you only pay your deposit should he be successful. There is absolutely no cost in securing your position to make sure you don’t miss out on the property.’

Hopefully that has been of help to you today and hope you can call me to your home and we can have a chat in Open Negotiation.