Perth Property shows a modest and stable outlook in 2018
There's been a lot of noise in the media around Perth’s property affordability, current position in the property cycle and upcoming mining investment (lithium in particular). Key market indicators show a modest and stable outlook for Perth property in 2018. HTW estimate that the Perth Median House price will be around $540,000 by the end of 2018 (currently at $507,000).
Herron Todd White Valuers have just released their February 2018 Month In Review, which is very interesting reading with some positive news for Perth. In our experience, HTW are one of the more conservative valuers, so this certainly represents very good news for The West.
Affordability in Perth is now exceptional and the market is stable and heading back up. In short, prices are at the bottom and money is cheap with interest rates still at all-time lows, so it's a perfect time to lock in some under-valued properties and sit back and wait for the increases which will come.
Key information for Perth buyers:
- In 2017 over a quarter of all Perth suburbs recorded positive sales growth. The suburbs that experienced growth were suburbs that are located nearby to key infrastructure such as schools, shopping centres and train stations.
- Key indicators such as unemployment showed signs of growth in 2017. A job surge over December 2017 saw the unemployment rate drop from 6.6% to 5.7%
- During the December 2017 quarter, prices increased in three out of five sub-regions in Perth
- The overall Perth median house price is $507,000 but is expected to rise to $525,000 once all sales are settled (according to REIWA) and HTW are expecting it to be $540,000 by the end of 2018
- Currently there are 13,134 properties listed on the market. Herron Todd White indicates that a balanced housing market is reflected when listings hover around 12,000 to 13,000
- In the December quarter the average selling times dropped ten days to 60 days
Read the full report here: https://www.htw.com.au/wp-content/uploads/Month-In-Review-February-2018-Residential.pdf