From May 2020 to June 2020, Perth saw a 55.1% increase in real estate transactions, which was also 45% higher than 12 months prior in June 2019. These figures peak as the strongest figures since 2015 in Perth.
REIWA data in June, on a high level showed that:
- 3,990 sales transactions in June with dwellings up 15% and land sales up 289%
- Perth transactions in June increased 55.1% compared to May
- Median house price remained unchanged for June, at $475,000
- Median land sale price increased five per cent compared to this time last year at $250,000
Interestingly as well, the top performing suburbs were noted as Dudley Park, High Wycombe, Thornlie and Willetton. While the median house price in the Perth region remained unchanged in June, sitting at $475,000, the median land price increasing to $250,000. This is a 5% increase from the previous year.
When speaking with Realmark Managing Director, John Percudani, around these figures, he was able to shed some light on what they could mean as we move forward.
“Perth has seen similar cycles in the past, with increases in sales transactions and reductions in stock availability often being the first indicator of price adjustments.
"While monthly changes in prices can be volatile, rising sales volumes and dropping stock levels are usually a precursor to rising prices.
“The built-up demand we are experiencing could easily be attributed to the recent government building grants coupled with the interest rates currently available. We are seeing rates sitting at historically low levels. People are seeing the value and taking their opportunity to enter the property market, expand their investment portfolio or upgrading their home”
When asked about the current listing environment and how competitive the market is with properties, Mr Percudani explained that “right now we are seeing a significant reduction in the amount of properties that are currently available to buyers. This is causing underlying buyer demand to become more apparent and the market is at a crucial inflection point.
“When demand pushes forward in a market like this, and you have been considering selling, it can the most beneficial time to do so. Right now, quite simply, there are more buyers than homes, so we are seeing in our own offices, that our clients our getting positive results especially when the right combination of selling method and marketing is employed”.
With opportunity open for both buyers and sellers in this very unique WA environment, it is important to work with a team who understand the WA market intimately to deliver you the best property result for you.
Ready to buy?
Ready to sell?
Source: https://www.therealestateconversation.com.au/news/2020/07/03/reiwa-data-shows-strongest-month-real-estate-sales-perth-since-2015/1593734882