Perth property listings down 41.5% YOY: REIWA

The Real Estate Institute of Western Australia (REIWA) revealed that there were 3,291 active listings on the institute’s website for Perth at the end of May 2024, a 41.5 per cent decrease compared to May 2023 when there were 5,629 listings.

REIWA also found that houses sold at a medium rate of eight days, which was four days faster than in May 2023. Similarly, units in Perth have sold at a median rate of 10 days, which is 12 days faster than the same period last year.

With the housing undersupply crisis driving up demand, property prices have continued to increase, with the median house price in Perth now costing $650,000 an increase of 3.2 per cent compared to April 2024, according to REIWA.

The institute also found that there was a 17.1 per cent increase in Perth house prices in May 2024 compared to May 2024. The median unit price has grown as well, up 2.1 per cent to $435,000 in May, and up 8.7 per cent compared to the same period last year.

According to REIWA’s CEO Cath Hart, demand for established housing has remained strong due to population growth, constraints in the construction industry, and a challenging rental market.

Hart said: “When dwelling prices rise strongly we usually see more people choosing to build and a slowing of price growth for established homes. Anecdotally, there is definitely demand for new homes, with developers reporting strong land sales, but there is limited capacity in the building industry to address this demand.”

Speaking on the challenges that developers have faced, Hart said that builders have noted the low number of vacant lots available as an “ongoing concern”.

The CEO also said that she expects active listing to remain low as homes continue to be sold “extremely quickly”

Hart said: “This doesn’t mean there are no homes coming to the market, simply that they are selling almost as soon as they become available. This keeps the number of active listings of advertised homes low.”

The Western Australian government also recently announced that it has increased the stamp duty exemption threshold for first home buyers.

[Related: WA increases stamp duty exemption threshold]