Phil's Property Corner - Perth Property Market Update & Election Countdown

May 16, 2019 by Rebecca Crommelin

On our blog this month, Phil Bertram, the owner of Candour Property Group, brings the latest edition of Phil's Property Corner. This month, Phil reviews the latest Perth property market stats and economy figures in the midst of the upcoming election. 

Perth’s median sale price was steady again in April at $500,000, with sales activity subdued but listings reducing by 3.2%. Rental activity was also subdued and the vacancy rate was steady at 2.5%. You can find REIWA’s April Perth market update video here.

Whilst the median price and median rental for Perth overall remain steady, there are some positive signs with 24% of Perth suburbs increasing their median property values in the month of April. Some of these suburbs included Gosnells (3.4%), Dudley Park, Scarborough, Marangaroo and Canning Vale. A similar trend can be observed for the median rental price, with 24% of Perth suburbs recording an increase in their median rental price. Some of these suburbs included Stirling, Mindarie, Rivervale, Hamilton Hill and Quinns Rocks. Some interesting observations on the Perth market can be read in this article.

As can often be the case, property activity all around the country is reduced in the lead up to the 2019 Federal Election, with the major parties at opposite ends of the scale on changes in everything from property through to superannuation. If you’d like a summary ahead of Saturday’s election on each party’s policy position you can find a very helpful guide here.

All this attention on the Federal Election has diverted a lot of people’s attention from some very pleasing numbers being generated by the WA economy. The 2019-20 budget has highlighted a $16 billion pipeline of new capital projects centred around iron ore and lithium. These will be generating thousands of extra jobs in the next 12 months alone.  They have also predicted wage growth to increase substantially from 1.75% to 3.25% growth by 2022-23, seeing unemployment drop from 6% to 5.5% also during this time.

The budget also predicts a “modest recovery” in property prices in 2019-20, largely driven by increasing population growth and improving labour market conditions. The West Australian have published a comprehensive article outlining the budget which you can find here.

If you’d like to have a chat about how the changes in the budget or proposed changes by the Federal Election might affect you the next step is to chat with Phil Bertram. There is no obligation to proceed any further than you’re comfortable with and he doesn’t charge for his time. All strategies are implemented in tandem with your Mortgage Choice Mortgage Broker.

To arrange for him to call you please email him with your name and contact number on phil@candourproperty.com.au and he’ll be in touch.