Property prices in Perth notched up strong gains over the June quarter lifting the median house price by $20,000 - a solid 4.6% increase according to a new data from the Real Estate Institute of Western Australia (REIWA).
Units and apartments also recorded solid growth with median price rising by nearly 9% to $380,000. Sales turnover soared by 60% while the number of properties up for grabs fell by 26% over the same period last year.
Regional centres also performed strongly, with Karratha racking up 23% growth in the quarter while prices in Kalgoorie-Boulder and Geraldton-Greenough climbed by 6%.
"This increased sales activity has been very important in soaking up the excess dwelling built through the speculative construction boom of 2004-2007," said Rob Druitt, REIWA president. "Perth now has as much better balance between supply and demand with around 12,800 properties for sale at the end of June, down from 15,000 in March, and the number of selling days dropping from 76 to 70."
REIWA's 'seller sentiment' measure showed 70% of sellers were prepared to drop the asking price by an average 4.4% to secure a sale. However, the declining trend in the number of sellers dropping prices suggests increased confidence in the market according to Druitt.