It’s the next best thing to a crystal ball – the inside word on real estate activity and the next hot investment for WA property prices. Get your 2019 planner ready because all signs point to the WA market finally nearing an upturn.
Since 2014, some areas of our real estate market have been flat. This was particularly so for high-end homes but recent figures on 2018 WA property prices show that the most expensive homes have enjoyed a 1.5% increase.
It doesn’t end there. First-home-buyers are stepping out of their rented front doors to make a move into the lower end of the property market. This is largely down to improved economic conditions, with homes under the $500,000 mark firmly in the fledgeling buyers’ sights.
In fact, across the housing market in WA, a stabilising or levelling out of prices can be put down to a 2018 winter period where we finally saw a slowing in the decline of prices. This makes for a possible launching pad into the start of 2019 where sellers who have sat on their asset, see a levelling out in prices and consider listing their homes.
Now although WA property prices aren’t set to soar straight away, analysts like the QBE Housing Outlook report foresee that after a 2% decline by mid-2019, house and unit prices will slowly start to grow to June 2021.
The report also predicts that Perth house price growth will beat Sydney and Melbourne.
Another factor that will be the final pressure-point for house prices to start rising is the forecasted change in WA rental properties. It’s a renter’s market right now but with investors shying away from purchasing investment properties and other rental properties being sold off, forecasters believe there will be a shortage of rental properties by the end of 2019 which would tempt some renters to switch to homeownership.
WA has always been a jewel of a place to invest real estate dollars into, it’s just now that the stars are really aligning!
We already hear experts agreeing that Perth housing prices are bottoming out. As the word spreads, it’s believed that prospective investors will see it’s a ripe time to buy and we’ll move back into a growth period. It’s just a matter of who moves first to get the start of the best buys.
Some experts are now tipping that come 2021, Perth will have the second-fastest house price growth in Australia, the forecast being a healthy 10%. This would put the median WA property price at $570,000. That’s a strong indication that buying now would see your investment dollar grow in the medium term.
Feel free to contact us. We’re excited to take your call today to get you into your new home tomorrow!