Perth’s property market continues to show resilience. According to Cotality (formerly CoreLogic), national dwelling values rose by 0.6% in July, lifting the quarterly growth rate to 1.8% and the annual change to 3.7%. The combined capitals index mirrored this performance, also recording 0.6% growth for the month.

Perth recorded a 0.9% increase in dwelling values for July which marked a 3-month 2.6% growth in dwelling values and an annual growth of 6.5%. This was another steady month for Perth’s market, and the resilience of the local market continues to be a highlight. Despite slowing growth around the nation, Perth has performed as the 2^nd top Capital City over 12 months and the 3^rd best over 3 months with Darwin leading the charge over both time periods.

REIWA reported a -17.1% drop in available stock from June, with 3,292 properties for sale across Perth at July’s end – it’s the greatest monthly drop in stock since Dec 2024. While this may ‘partially’ reflect seasonal trends, the market is looking at a severe shortage of supply once again and this follows a month-on-month downtrend in stock from March 2025. Sales activity eased slightly in July, with 851 transactions, a 5.02% decline from June, however the supply demand imbalance continues to put upward pressure on prices with the Perth median house price now at $800,000.

Median rents for houses across Perth have held steady at $680/wk for July and so far this year have only fluctuated between $675/wk and $690/wk. Unit rents have held a similar pattern only moving from $640/wk in Jan to $650/wk in Feb and holding at $650/wk right through to July. The rental market has stabilised well this year and the vacancy rate continues to hold within long term ranges recorded at 2.4% for July.

REIWA recorded a rise of 1.06% in the monthly median house for the City of Melville reaching $1,398,000 in July. This followed a slight dip in June but has set a new high. Listing volumes fell significantly in July, with 163 properties for sale, a 22.75% drop from June, while sales declined to 118 transactions, down 13.87% month-on-month. Across our core local suburbs, listings on realestate.com.au dropped by 10.19% to just 141, with reductions seen in every suburb except Bicton and Melville.

Stock for sale in Perth has once again reach critical levels not seen since May to July 2024 which was the low of the current cycle. Even with soft demand, stock levels at these lows would likely still result in upward pressure on prices. However, buyer demand remains robust for now, so in our opinion moderate price growth through to the end of 2025 is the probable outcome. Another factor to watch is population growth – looking at the 2024-25 state and territory nominations for the national migration program, WA has the equal highest allocation in line with NSW and VIC. From this we may see continued population growth in Perth and another factor in keeping demand at higher levels. The state government will be under pressure to move quickly on its promised $101 million Housing Enabling Infrastructure Fund.