The Western Australian capital recorded the strongest house price growth in the nation in November, with its largest increase in two and a half years
Perth’s house price increases continue to outpace the nation, with the city recording its largest increase in home values in two and a half years.
Recent data from CoreLogic has shown the nation’s home values increased by 0.6 per cent in November, with Perth leading the way in the rate of increase with a 1.9 per cent jump.
The last time Perth jumped this much was between January and March of 2021, when home values rose by more than two per cent for three consecutive months.
The city remains one of the most affordable in the nation however, at a $646,520 median house price, compared with a nation median of $753,654.
Darwin is the only jurisdiction with lower home values than Perth, at a $496,792 median value.
CoreLogic’s home value index showed Brisbane’s growth as second to Perth at 1.3 per cent, to a $779,270 median.
This was followed by Adelaide, which reported 1.2 per cent growth and a $704,276 median value, and Canberra with a 0.5 per cent increase.
Sydney recorded 0.3 per cent growth with the highest median home value in the nation, at $1.25 million.
Melbourne, Hobart and Darwin all recorded decreases in their home values, by 0.1 per cent, 0.1 per cent and 0.3 per cent respectively.
Source: CoreLogic
CoreLogic research director Tim Lawless said the strength in Perth’s market was due to the current disconnect between supply and demand.
“Advertised listings remain remarkably low, tracking 39 per cent below the five year average for this time of year,” he said.
“At the same time, demonstrated demand, based on home sales, is tracking about 25 per cent above average for this time of the year.
“Demand is being spurred on by a combination of strong interstate and overseas migration, but is probably being amplified by record low rental vacancy rates which could be seeing rental demand spilling over into purchasing demand.”
Mr Lawless added that Perth’s relative level of housing affordability enhanced the levels of demand.
REA Group’s Proptrack also reported Perth as having the strongest rate of growth, at 0.74 per cent to a $622,000 median house price.
Proptrack’s national home value index chalked the country’s median house price at $761,000.
