The number of properties available for sale and rent have dropped to the lowest levels since late 2014, with only 13,831 properties listed for sale and 6,599 properties listed for rent on reiwa.com in August.
REIWA President Damian Collins said Perth’s residential sales market has slightly softened in August across all aspects, however the rate of price decline appears to be slowing.
“CoreLogic’s latest home value index shows dwelling values in Perth declined for another month to 0.5 per cent in August, yet the rate of decline is slowing, which is a positive indication that prices in Perth may be approaching the bottom.
While listings for sale reduced by eight per cent since July, there were a number of suburbs that showed a significant reduction in listings (percentage wise) for August demonstrating their popularity.
“Topping the list was Churchlands with the largest reduction, which was closely followed by Sinagra, Waterford, Shenton Park and Greenwood,” Mr Collins said.
reiwa.com data shows the number of sales reduced by seven per cent during the month and the overall median sale price has lowered to $486,000.
“The further slowdown in the market may suggest we are not yet seeing the full effects of the recent changes made by APRA, the Reserve Bank of Australia’s rate cuts or Keystart initiative. Hopefully in time we will see an increase in the number of buyers, otherwise there will be a need for further action by the State Government in relation to land taxes and stamp duty,” Mr Collins said.
Perth rental market
The Perth rental market has seen a three per cent reduction of listing stock and a five per cent reduction in leasing activity for August.
“In addition to the decline we’ve seen during the month, listing stock are now 17 per cent lower than they were a year ago,” Mr Collins said.
reiwa.com data reveals the top suburbs that have seen a significant decrease in rental listings include Alkimos with the largest reduction, followed by Connolly, Willagee, Shoalwater and Greenwood.
“While we have seen Perth’s rental market gaining momentum over recent months, we are now starting to see it stabilise with the overall median rent price remaining at $350 per week.
“Typically, as we move into these warmer spring months, the property market should see an overall uplift in activity – something we are keen to keep an eye on in the coming months,” Mr Collins said.