Perth Market Holds Strong Despite National Decline
Australia’s property market had a mixed start to the year, with CoreLogic reporting a national decline of 0.3% in January 2025. Cities like Melbourne (-0.6%), Canberra (-0.5%), and Sydney (-0.4%) saw the sharpest drops, while Perth, Adelaide, and Darwin remained resilient, posting growth of 0.4%, 0.7%, and 0.6% respectively.
For the first time in 15 months, Perth didn’t lead the nation in monthly growth, but when we take a step back and look at the bigger picture, our city remains the top-performing capital over the past year. Perth’s dwelling values have increased by 1.0% over the last quarter and a solid 17.1% over the past 12 months. With tight supply levels and continued population growth, Perth remains one of the strongest real estate markets in the country, offering long-term potential for both homeowners and investors.
More Listings on the Market, But Supply Remains Tight
The number of properties for sale in Perth is on the rise, with REIWA reporting 4,864 listings in the week ending 2 February 2025. This is an increase from 4,307 four weeks earlier and significantly higher than the 3,846 listings available at the same time last year.
While this increase in stock gives buyers a few more options, Perth’s market is still well below the estimated 13,500 listings required for a balanced market. This low supply is one of the key reasons property prices have remained so resilient.
Selling times have also stretched out slightly, showing that the market is adjusting while still remaining competitive. The median time to sell a house increased to 22 days in January—13 days longer than a year ago—while units took an average of 17 days to sell. These shifts suggest buyers are being more selective, but demand remains strong, particularly in high-demand suburbs.
Rental Market Showing Signs of Stabilisation
Perth’s rental market continued to hold firm in January, with the median weekly rent for dwellings rising to $670—an 8.9% increase over the past year. House rentals saw a slight bump to $680 per week, while unit rents remained steady at $650 per week.
Although rental prices have remained high, there are signs that the market may be reaching an affordability limit. More renters are exploring shared housing or shifting to more affordable rental options to offset rising costs.
There were 2,142 rental properties available in the week ending 2 February 2025, which is an increase from 1,934 four weeks ago and 1,862 this time last year. Leasing times have remained steady, with the median time to secure a rental at 16 days—unchanged from 12 months ago.
Western Australia’s Population Boom Continues
Population growth continues to be a driving force behind demand in Perth’s property market. The latest ABS figures show that Australia’s total population grew by 2.1% in the 12 months leading up to June 2024, reaching 27.2 million people.
Western Australia recorded the highest population growth in the country for the sixth consecutive quarter, with a 2.8% annual increase. This was largely fueled by strong international migration, with WA welcoming 58,082 new residents. Interstate migration also remained positive, with 9,742 people relocating to WA—second only to Queensland.
This steady population growth is keeping demand high in both the sales and rental markets. With more people choosing to call Perth home, the need for housing—both owner-occupied and rental—remains strong, further reinforcing Perth’s position as a high-growth property market.
Final Thoughts
Despite a slight shift in the national property market, Perth continues to prove its resilience, backed by strong demand, low stock levels, and ongoing population growth. For homeowners, this means property values remain solid, and for buyers, it’s a market that still offers plenty of opportunities.
At RE/MAX Extreme, we’re keeping a close eye on these trends and are here to help you navigate the market, whether you’re looking to buy, sell, or invest. If you’re curious about what these latest market movements mean for you, don’t hesitate to reach out—I’d love to chat and share some insights tailored to your property goals.
(Source: Momentum Wealth, Real Estate Institute of Western Australia & Corelogic)