A snapshot of the Current State of the Perth Real Estate Market by Alvin Ong
Perth’s property market continues to show resilience, driven by population growth, limited housing supply, and strong rental demand. Despite broader economic uncertainty, the city’s affordability compared to other capitals is keeping both buyers and investors engaged.
Market Overview
As of late 2025, Perth’s median house prices remain on an upward trend, with steady quarterly growth fuelled by tight inventory and rising construction costs. Suburbs close to the CBD and coastal areas are particularly competitive, while outer suburbs are attracting first-home buyers seeking value.
Key Trends
- Low Supply, High Demand: Listings remain well below the long-term average, creating upward pressure on prices.
- Investor Confidence: High rental yields—among the strongest in Australia—continue to draw investors to Perth.
- Interest Rate Stability: With rates stabilizing, more buyers are returning to the market, boosting confidence and competition.
- Population Growth: Migration into Western Australia is sustaining demand, especially in family-friendly suburbs and regional hubs.
What This Means for Buyers
Buyers face a fast-moving market where well-priced homes sell quickly. Preparation is key—arrange finance early, stay alert to new listings, and be ready to act decisively. Exploring up-and-coming suburbs may offer better entry points without compromising long-term growth potential.
What This Means for Sellers
Sellers are in a favourable position. Strong demand and limited supply mean properties that are well-presented and accurately priced can attract multiple offers. However, as more homes enter the market later in the year as sellers are attracted by record selling prices, strategic pricing and effective marketing still remain essential. Getting a professional real estate representative to assist you is therefore a wiser way to take full advantage of this climate.
Outlook
Perth’s market is expected to remain strong through 2026, underpinned by population growth and ongoing housing shortages. While price growth may moderate due to risk factors such as policy changes, or a slowdown in interstate migration, the current climate favours well-prepared, informed buyers and sellers.
