By Brett White, Licensee – RE/MAX Extreme
We’re halfway through 2025, and the data is painting a very clear picture — unit prices in Western Australia are strengthening and, in many areas, they’re outperforming houses for price growth.
Traditionally, houses have led the way in terms of value gains. But over the past 12 months, the gap has narrowed significantly. And here in Perth — particularly across suburbs like Joondalup, Currambine, Scarborough and Innaloo — we’re seeing this trend firsthand.
WA Housing Market: How Prices Have Shifted
According to updated data from REIWA, the median house sale price in Perth rose from $775,000 in March 2025 to $786,000 in June 2025 — an increase of 1.4% over the quarter.
Meanwhile, unit prices rose 2.9% over the same period, lifting the median unit price from $525,000 to $540,000. That puts both house and unit prices at record highs for Perth.
Over the 12 months to June 2025:
- House prices in Greater Perth increased by 16.4%
- The top 10 suburbs saw house price growth above 28%
- In the unit market, the overall median price rose by 20%
- Top-performing suburbs for units recorded 32%+ growth
This data reflects not only market demand but also shifting buyer preferences. Unit buyers — particularly those looking for villas and home units — are often drawn to affordable alternatives to freestanding homes, especially in established suburbs with good transport links and local amenities.
What’s Driving Growth in the Unit Sector?
The increase in unit prices has largely been driven by affordability constraints in the housing market. As house prices rise, many buyers are turning to units as a more budget-friendly option — especially first-home buyers, downsizers, and investors.
Within the unit sector:
- Villas and home units have shown the strongest growth
- Townhouses are performing well
- Apartments, although limited in new supply, have seen more modest gains
These trends reflect demand for properties that offer features like courtyards, private garages, and low-density living environments — options that are typically found in villas and townhouses rather than high-rise apartments.
Rental Market in WA: Where We Stand in 2025
On the rental front, Perth’s median house rent declined slightly in the June quarter — from $695/week to $680/week, a drop of 2.2%. Meanwhile, the median unit rent increased 1.5%, from $650 to $660/week.
Over the 12 months to June 2025:
- House rents rose by 4.6%
- Unit rents jumped by 10.0%
Although that growth is still upward, the rate of increase has clearly slowed compared to previous years:
- In 2023–24, median weekly house rents rose by 12.1%
- In 2022–23, they rose by 16.0%
- For units, the annual growth rates were 14.3% in 2023–24 and 19.3% in 2022–23
This cooling in rental price growth is linked to gradual increases in supply and less intense demand than during the peak of WA’s post-COVID housing shortage.
Even so, the rental market remains tight in many northern suburbs, especially for modern, well-maintained homes close to infrastructure. Areas further from the CBD, or with dated stock, may be seeing slower leasing activity or softer price points.
Regional WA: Price Growth Still Strong in Some Centres
In regional Western Australia, most centres have recorded positive growth in 2025.
Forecasts based on current trends indicate:
- Albany and Geraldton may achieve up to 25% growth in median house prices this year
- Bunbury, Busselton and Karratha are trending towards 15% annual growth
- Broome, Esperance and Kalgoorlie are more moderate, in the 2–5% range
- Port Hedland, in contrast, is expected to show a decline in its median house price
On the rental side, regional WA shows varying market conditions:
- Broome’s rental market is seasonal, with current increases likely to taper toward year’s end
- Rent growth is slowing in Busselton, Kalgoorlie-Boulder and Port Hedland
- Strong rental demand continues in Albany, Bunbury, Geraldton and Karratha
- Esperance rent prices are trending downward, but this market is small and data fluctuates due to low lease volumes
Local Advice Still Matters Most
Across all these shifts — whether you’re buying, selling, or investing — what really stands out is the variation from suburb to suburb. Some areas are seeing outstanding growth, others are levelling off, and a few are in correction territory.
That’s why local knowledge is more important than ever. At RE/MAX Extreme, we don’t just read market reports — we live and breathe the local real estate market every day, especially in Perth’s northern corridor.
If you’re wondering how these trends affect your property, or you’d like help navigating your next move, I’m always available for a chat — as are Kathy and Cristina from our team. We’re here to provide real-world insights based on what’s actually happening in our area.
Disclaimer: This article is intended to provide general commentary only and should not be considered financial advice. Always consult a qualified professional for personalised guidance.
Source: REIWA (Real Estate Institute of Western Australia)