Fresh data shows Perth’s median house price has stabilised over the month of December, but rental listings data has surprised local experts.
During December,saw median house prices hold steady at $510,000, according to the Real Estate Institute of Western Australia (REIWA).
While unchanged compared to last month, this was a rise of 2.6 per cent compared to September.
Damian Collins, president of the REIWA, said this showed the median house price in Greater Perth was holding up well, “which is good news as the market transitions towards a recovery”.
“Median prices provide a good indication of market trends, however it is important to take a closer look at how individual sectors are holding up,” Mr Collins said.
“For example, although overall sales are down in Greater Perth, [REIWA] data shows activity in the $800,000 plus price range has strengthened.”
REIWA data also revealed listings were down by 9 per cent compared to last month.
“After observing a surge in listing stock during spring, listing volumes were more subdued in December, which is very typical as vendors are generally less inclined to try and sell during the holiday season,” Mr Collins said.
Rental listings were also down in December by 6 per cent down to 6,865.
“In addition to the decline we’ve seen during the month, listings are now a staggering 27 per cent lower than they were a year ago,” Mr Collins said.
“This significant reduction in listings, combined with stable rent prices and healthy leasing volumes, has pushed the Perth vacancy rate to 2.9 per cent, the lowest level Perth has experienced since March 2013.”
Median rents in Perth, however, remained steady for the month at $350 per week, while median house rents rose by $8 to $360 per week, which Mr Collins viewed as encouraging.
“Traditionally the first few months of the year are a busy time for leasing activity,” he said.
“If the rental market remains on its current upward trajectory, we should see rent prices increase throughout the year, which should entice investors back into the market.”