Perth Property Update – Spring 2020 – Tim Whall
Perth Property Market Update | Spring 2020
Wow what a 6 months it has been, and now we are already in Spring 2020.
I would like to take this opportunity to thank all of you for your support and custom in these tough times. Over this past year we have added staff, contractors and new clients. We are grateful for the opportunity to work with, and for all of you.
Every year is filled with challenges and victories, however this year has been filled with more change than normal. No matter what we faced I am proud of my team as we have worked together and overcome adversity as well as achieved some great results and outcomes for our clients along the way.
We are eager to see what the spring / summer months will bring & are as prepared as can be for what the 2020/2021 financial year will bear.
SALES // The sales market as a metro average is performing consistently by way of turnover, prices have not seen a significant increased and stock levels are sitting at 10,760 which is 22% lower than last year. Perth has certainly experienced a surge in transactions some labeling it a bit of a boom. Sure land sales and house and land sales has certainly boomed coming off a extremely low historical base, the stimulus really benefited the new housing and land sales market. This has seen some flow on effect in established housing sales and off-the-plan apartment sales, with the established apartment market still relatively subdued in my opinion, this segment likely will not experience a similar up take until our borders open up. Yes we are seeing a mini boom in transactions which is great and clearing out stock off market however the demand is balanced enough that we are yet to see pressure allowing prices to increase, if the demand continues we may see growth this coming quarter.
LEASING // Coming into CV-19 lock down leasing slowed dramatically, however and thankfully the past 60 days has seen our office experience consistently low vacancy rates, with our vacancy rate, as of today, sitting at 1.6%.
REIWA figures reveal that there were 3,206 properties for rent in Perth at the end of this week, which is 3% lower than last week, and a staggering 51% lower than this period last year.
It is important to note these are metro averages and, similar to the sales market there are still segments which are not as buoyant as others. Apartments in general are leasing slower than housing, and our more premium apartments are not in as high demand as other properties. Fully furnished and premium apartments will likely be in more solid demand once our borders open.
Thank you for opening and reading.