Perth’s rainy July fails to dampen buyer appetite

• Consumer appetite appears strong despite the wettest July in years
• Perth house prices also rose in July
• Kingsley is the fastest selling suburb in Perth

Dreary weather is known to dampen consumer appetite, but Perth buyers have not been deterred, despite Perth having recorded one of its wettest Julys on record.

Buyers soaked up the city’s property stock, with data from REIWA revealing property listing as ‘for sale’ dropped 2.3% in July, and 6.4% in the last three months.

While the lowered stock is an indication of strong consumer appetite, the figures also reflect less willingness to sell as the stock sold on the market is not replaced at an adequate rate.

REIWA President Damian Collins said he is pleased with the result.

“Normally wet weather dampens people’s interest in attending property inspections, but July was still a very strong month for sales,” Mr Collins said.

“As we transition out of winter into spring, this should put the Perth property market in a good position to continue its strong recovery.”

Damian Collins, REIWA President

Property Stock

At the month’s end, Perth had 8,374 listings for sale.

“Much of this decline is being driven by houses, with house listings down 6.2 per cent over the month and 11.9 per cent compared to three months ago,” Mr Collins said.

While listings dropped across the city, the following were the five suburbs with the biggest drops in listings:

1. Banksia Grove – down 44%
2. Lockridge – down 37%
3. Darlington – down 33%
4. Glendalough – down 33%
5. Helena Valley – down 33%

Mr Collins said he was encouraged that stock was being sold at a “…healthy pace during winter when we [would] generally expect fewer sales to occur.”

Home value index

As the stock lowered, prices have risen.

CoreLogic research determined Perth’s home value index experienced a 0.3% increase during July. This equates to an 11% rise since the same time last year.

July’s median house sale price was $520,500 according to REIWA.

“Even though the rate of growth has slowed down, it is reassuring to see there has still been price growth, which will put Perth in a strong position as we enter the spring selling season,” Mr Collins said.

Median selling days

17 days was the median time to sell a property in July, according to REWA.

“Even though this figure is one day slower than June, houses are still selling 27 days faster than they were a year ago,” Mr Collins said.

The fastest-selling suburbs were:

1.  Kingsley – six days
2. Willetton – seven days
3. Heathridge – eight days
4. Kinross – eight days
5. Palmyra – eight days