With the release of CoreLogic’s Quarterly Rental Review Report, we’re looking back at the performance of Perth’s property market during the last few months of 2022, as well as looking ahead to what 2023 may have in store.
As property specialists, we want to use our knowledge to guide property investors on their journey. Keep reading to learn more about the conditions of the Perth property market. If you’re looking for some personalised advice on your investment property, you can request a free rental appraisal here, and we’ll be in touch to help you out.
Closing out 2022
The immediate impact of the global pandemic began to wane in our corner of the world. At the same time, the economic run-on effects had only a minor impact on Perth’s property market. Though less steep, national interest rate hikes failed to upset the upward trajectory of Perth housing prices, which rose by 2.86% from a median of $525,000 in 2021 to $540,000 in 2022.
We have also maintained our status as the most affordable capital city based on median house prices.
Continued Improvement in 2023
Strong conditions in the Perth property market are expected to continue into 2023, with REIWA estimating ‘moderate growth of between 2 and 5 percent in the next 12 months’ due to low supply vs. high demand. Average weekly reported sales figures rose slightly in 2022 and are predicted to continue in this direction in 2023. Though listing figures were down in 2022, they are anticipated to rise in the coming year or so as building projects stalled by the pandemic tick over into completion. This rise in supply will likely be offset by population growth.
Interest rate rises have so far been weathered well by the Perth property market, compared to the rest of the country, with most of the negative impact offset by strong economic conditions, low levels of unemployment, and the aforementioned population growth. All in all, we are cautiously optimistic about the Perth sales market in 2023.
Perth also had the distinction of being ‘the only capital city rental market to see an increase in the rate of quarterly growth’, while also enjoying the lowest national vacancy rate of 0.5%. The median rental price was $553, slightly lower than the national median of $555, but still representing quarterly growth of 3.2%, consistent with the year’s overall upward trend, and the strongest growth nationally for the quarter.
Navigate the Perth property market with Access Property Management
We’re committed to supporting you in your investment journey in any way we can. Our expertise and industry knowledge can help you keep your investment safe and maximise its potential. Request your free rental appraisal here to find out how we can help you.