Western Australia’s regional markets continued to gain strength despite the overall growth slowdown across the country while some suburbs in Perth even recently joined the million-dollar club.
According to a report from the Real Estate Institute of Western Australia (REIWA), eight regional centres reported robust gains during the quarter, with Broome and Busselton being the standouts.
Broome’s median house sale price lifted 4.7% to $649,000 during the quarter, while Busselton’s median increased 4.5% to $610,000.
REIWA deputy president Joe White said demand for property in Broome is high, with many people moving to the regional centre for a sea-change.
“The rental market in Broome is also very tight, which is funnelling more people into the property market and putting upwards pressure on prices,” he said.
Meanwhile, families seeking regional sense of community without sacrificing amenities are a key demographic driving growth in Busselton.
“This is due to the range of schools, sporting clubs, local hospital, and affordable housing options in the region,” Mr White said.
“There is also the fly in, fly out (FIFO) factor, with three companies now flying workers directly out of the Busselton Margaret River Airport — this is making it much easier for FIFO workers and their families to live in the South West.”
Overall, Western Australia’s regional markets was able to benefit from the state’s strong economic standing, solid jobs market, and steady population growth.
Mr White said the state having the highest average salary and the lowest average mortgage make it one of the best places for homebuyers and owners to easily manage the costs associated with the rising interest rates.
“This, combined with the ongoing housing shortage, is why we expect buyer demand to remain high and prices across regional WA to continue to grow,” he said.
Here’s how Western Australia’s regional centres performed over the past quarter:
|
REGIONAL CENTRE |
MEDIAN HOUSE SALE PRICE |
THREE-MONTH CHANGE |
12-MONTH CHANGE |
|
Albany |
$431,000 |
+1.4% |
+7.8% |
|
Broome |
$649,000 |
+4.7% |
+18.0% |
|
Bunbury |
$400,000 |
+0.3% |
+6.7% |
|
Busselton |
$610,000 |
+4.5% |
+16.9% |
|
Esperance |
$400,000 |
+2.6% |
+6.7% |
|
Geraldton |
$375,000 |
0.0% |
+15.4% |
|
Kalgoorlie |
$330,000 |
+0.2% |
+1.5% |
|
Karratha |
$527,750 |
+1.5% |
+7.3% |
|
Port Hedland |
$465,000 |
+1.1% |
+ 28.2% |
11 Perth suburbs join the million-dollar club
It's not just regional Western Australia that has been performing well amid the slowdown — 11 suburbs in Perth have managed to set new records in terms of median house prices over the past financial year, hitting the million-dollar mark for the first time ever.
Marmion, Mount Hawthorn, North Perth, Fremantle, and Kensington witnessed their median prices tip above $1.1m at the end of June 2022 while Gwelup, Booragoon, Karrinyup, Leederville, Iluka, and Como broke the $1m mark.
Mr White said the confidence of homebuyers in Western Australia and Perth has translated into more sales at the top end of the market.
“All of these suburbs have had medians hovering below $1m for quite some time,” he said.
“Perth’s premium market is attracting a lot of interest from buyers leading to strong price growth — if you are considering selling in one of these suburbs, now would be an opportunistic time to capitalise on this demand.”
|
SUBURB |
MEDIAN HOUSE PRICE 2021-22 FINANCIAL YEAR |
MEDIAN HOUSE PRICE 2020-21 FINANCIAL YEAR |
12-MONTH PERCENTAGE CHANGE |
|
1. Marmion |
$1.27 million |
$965,000 |
32% |
|
2. Mount Hawthorn |
$1.25 million |
$950,000 |
32% |
|
3. North Perth |
$1.13 million |
$900,000 |
26% |
|
4. Fremantle |
$1.1 million |
$850,000 |
29% |
|
5. Kensington |
$1.1 million |
$922,000 |
19% |
|
6. Gwelup |
$1.06 million |
$815,000 |
30% |
|
7. Booragoon |
$1.03 million |
$850,000 |
21% |
|
8. Karrinyup |
$1.02 million |
$880,000 |
16% |
|
9. Leederville |
$1.02 million |
$890,000 |
15% |
|
10. Iluka |
$1 million |
$845,000 |
18% |
|
11. Como |
$1 million |
$940,000 |
6% |
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Photo by Studio Australia on Canva.
