The Perth real estate market has seen a noticeable slowdown in activity in the past week, coming off the bustling holiday period. While this might seem concerning at first glance, it presents unique opportunities for both buyers and sellers who understand the current market dynamics.

Sales Activity Down, But Inventory Remains Tight

Sales transactions saw a significant dip last week, down 63.3% from the previous week. This decline was across the board, with house sales dropping 63.1%, unit sales by 61.1%, and land sales by 73.2%. This is a substantial decrease, likely reflecting a return to normal after the pre-holiday rush and as people return to routines.

Top Performing Suburbs: Where is the Demand?

Despite the overall slowdown, certain suburbs continue to show strong performance:

• For Sales: Gosnells (9 sales) topped the list, followed closely by Joondanna (7 sales). Armadale, Baldivis, and East Perth all recorded 6 sales each.
• For Rentals: Baldivis remains a rental hotspot with 11 properties leased, followed by Scarborough with 7. Como, Fremantle, and Rivervale each saw 5 properties leased.

These figures indicate persistent demand in these areas, making them worth watching for both investors and those looking for their next home.

Inventory: A Seller’s Market Persists?

Although sales are down, the number of properties available for sale in Perth also decreased last week, dropping 4.8% to 4,584. This decrease was driven by fewer listings for houses (down 5.8%), units (down 4%), and vacant land (down 1.2%). While inventory is 25.7% higher than a year ago, it’s still 19% lower than just four weeks ago, suggesting that the market remains relatively tight overall. This suggests that sellers who price their properties strategically can still achieve strong results.

Rental Market: Fewer Listings, but Increased Activity Year-Over-Year

Perth’s rental market mirrored the sales market with a 4.4% drop in available properties for rent, totaling 1,806 at the end of the last week. This figure is 17.9% lower than four weeks ago but 19% higher than the same time last year.

Interestingly, while listings are down compared to a month ago, the number of properties leased last week was up significantly from a year ago (63.8% increase). This highlights the ongoing demand in the rental sector despite a recent dip in activity, making it a potentially attractive area for investors.

Price Points: From City Beach Luxury to Gosnells Affordability

The price range in Perth remains diverse. The highest sale last week was a $3,425,000 property in City Beach, while the most affordable was a $440,000 home in Gosnells. This wide range demonstrates that there are options available for buyers at all price points.

What Does This Mean for You?

The current Perth real estate market presents a mixed bag of opportunities.

• For Buyers: The slowdown in sales activity may mean less competition and potentially more negotiating power. It’s a good time to keep a close eye on the market and be ready to act when the right property comes along.
• For Sellers: While the market is cooler, inventory remains relatively tight. Properly priced and well-presented properties can still attract strong interest.
• For Investors: The rental market remains robust in certain areas, with year-over-year growth in leasing activity suggesting a continued demand for rental properties.

Stay Informed, Stay Ahead

As your trusted local real estate experts, we are committed to keeping you informed about the latest market trends. We encourage you to contact us for a personalized consultation to discuss your specific real estate needs and how we can help you navigate the current market conditions. Whether you’re buying, selling, or investing, we’re here to guide you every step of the way.