Across the board in the Western Suburbs of Perth, stock is tight, with levels much lower than last year. The general consensus from agents is that people are starting to see optimism in the market on the back of the WA election and improving economic condition in the state. Accordingly, they are more inclined to hold onto their property.
An example is the percentage of stock on the market in Peppermint Grove, which has dropped from 4% to below 2% in the last 12 months. On the quality front, most western suburbs stock currently on the market are B&C grade assets, with several A-grade assets in the pipeline to come on stream in coming weeks.
Looking at days on market, properties are selling quicker than previously, with A-grade stock selling often within under a week. Days on the market for Swanbourne, for example, have been on a steady decline to 36 days in July ‘19, since peaking at 150 days in December 2016. However, overpriced and C&D grade properties are still taking considerable time to sell.
Price growth over the last year within the Western Suburbs has been consistent, with Cottesloe up 7.8% year on year and Swanbourne 8.5%. Peppermint Grove has surged over the past quarter, taking its median house price from 3.45 million up to $4.03 million.
A notable sale was this Cottesloe property – https://reiwa.com.au/5-beach-street-cottesloe-3643015/) – which last sold in August 2015 for $2,900,000. The property was taken to the market in early 2019 in the same condition as the previous sale, this time selling for $3,800,000.
Peppermint Grove and Swanbourne are the highest performing suburbs right now, primarily due to the scarcity of stock and the reduction in days on the market over this past 12 months. There is lots of activity within the development space for the Nedlands and Dalkeith markets after recent density zoning changes.
Forecast for the remainder of Spring
In spring, activity levels are high and there is optimism in the market. An abundance of stock has come on the market after the September school holidays, while there are stock levels to be absorbed from pent-up buyers.
Please get in touch if you’re looking to upgrade in the western suburbs, so we can help you find your dream property and home.