Strong first home buyer activity is pulling down the median price in the Perth metro market, according to the Real Estate Institute of Western Australia (REIWA).
REIWA president David Airey said more activity at the affordable end of the market was behind the 2.8 per cent price drop seen over the September quarter, with the median price falling to $508,000 from $522,500 in the June quarter.
However, the decline was expected to turn around in the December quarter as first home buyer activity started to slow, Mr Airey said.
Significant sales movement was seen in the more affordable suburbs of Gosnells and Armadale, with sales turnover jumping by eight and 12 per cent respectively.
Areas with weaker sales turnover included the north west area of Wanneroo, Bassendean and Bayswater, and the cities of Swan and Canning.
“We reported 2,001 sales in the month of September, and even though that figure is up by 13 per cent on the same time last year, it’s a drop of four per cent in sales since August,” Mr Airey said.