The undersupply that has crippled Perth's property market could be solved, as figures show 20% more property will come on to the market in the next two months.
RP Data's research shows real estate agent activity has increased 17% since the beginning of June and 31% on the same period last year. The report is based on the comparative market analysis (CMA) that realtors produce before a house is listed.
According to Bernard Salt's Australia on the Move report, which was published in August, there needs to be 22,500 new dwellings created each year in Western Australia, in order to meet the demand for affordable housing in urban areas.
"It usually takes around two months for a CMA to be run and then the property to go up for sale, so we can expect a lot more stock coming on to the market within the next two months," says Cameron Kusher of RP Data. "Whenever you speak to agents they always say there's not enough stock enough on the market [in Perth] and we've got record population growth but yet building approvals and commencements are at their lowest. Perth's been in the doldrums for the last two years but now home owners are starting to see there is some price growth and that there is opportunity to make some money."
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