scarborough
Scarborough Beach, with Rendezvous Observation City in the background. Image City of Stirling.
  • Home to one of the most iconic beaches in the state, along with a major entertainment precinct, Scarborough is a popular suburb
  • The vacancy rate is just 0.3%
  • Range of houses for sale, from $600k to a $3 million site with significant development opportunity

The Property Tribune recently covered the Scarborough property market, with one highlight including the fact Scarborough is often one of the top suburbs for sale in any given week according to data from reiwa.com.

Home to one of the most iconic beaches in the state, along with a major entertainment precinct, Scarborough is a popular suburb.

Home to around 16,000 residents, Scarborough is 12 kilometres from the Perth CBD.

The suburb itself spans five square kilometres and has enjoyed strong price growth in recent times.

According to SQM Research, asking prices in the suburb have risen sharply since 2021, and are now just shy of $1 million for houses as of this month, December 2022.

The vacancy rate is also at just 0.3% – the lowest since 2012. To put this into perspective, the vacancy rate peaked at 7% back in July 2017.

6019 (inc. Scarborough, Wembley Downs)

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To put this into perspective, the property gross rental yield peaked as high as 6.5% for two-bedroom units a couple of months ago, while for houses it is now 4.3%. Higher yields for units is a trend that has been witnessed since 2018.

6019 (inc. Scarborough, Wembley Downs)

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Asking rents have also been on the rise, now $855 per week for houses and $552 for units. This is similar to the last peak in 2012.

6019 (inc. Scarborough, Wembley Downs)

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The total number of properties for sale continues to trend downwards, as it has since peaking in 2019, although the total number of property listings is higher than at the end of winter 2021. Properties are also selling faster than in previous years.

6019 (inc. Scarborough, Wembley Downs)

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As expected given the tightening rental market, the total number of properties for rent has shrunk considerably.

As of 9 December 2022, there were just 39 rental listings with 33 of these having been listed in the past 30 days. By comparison, in June 2017, there were 297 listings, with 151 under 30 days.

Demographics of Scarborough

The latest Australian Bureau of Statistics Data (ABS) noted that 41.1% of residential dwellings are currently rented in Scarborough. Just shy of a quarter (24.9%) are owned outright with the balance under a mortgage, minus some public housing.

Given the relatively high population density compared to most Perth suburbs, over half of all properties (50.5%) in Scarborough are duplexes or villas, with a third of houses (36.3%), and apartments making up the rest (13.2%).

What’s currently for sale in Scarborough?

Although there is less stock on the market compared to previous years, the range of houses on the market does indicate how the local housing market is performing.

According to Landgate and reiwa.com data, the suburb enjoyed a 13.1% median house price growth during the 12 months to October 2022. This is similar to nearby suburbs, such as City Beach and Karrinyup, which have recorded sale price growth of 11.4% and 15.4% respectively.

Scarborough has a median house price of $915,000, with an $858,000 median for a two-bedroom house, $880,000 for a three-bedroom house and $1.2 million for a four-bedroom house.

Houses for sale in Scarborough

$3 million house on Brighton Road

The first property is this $3 million house on Brighton Road. While it looks like an older 1970s double-storey brick house, its proximity to the beach makes the property come with a high tag. But why $3 million? Well, the land.

“While the property is very liveable as it is, the great value is in its development potential,” PEARD Sales Associate Mick Evans told The Property Tribune. 

 

Mr Evans also mentioned this location is close to the buzz of Scarborough with its “… proposed underground highways (whether tunnel or trench) pedestrian walkways, high-quality apartment buildings with beach villas/pads, cafe strips, and awesome, cool, amazing living.”

“With over $100 million already spent on redevelopment, Scarborough is definitely going to be sought after by local, national and international people.

“This revitalisation is creating one of Australia’s best and most iconic beachfront destinations.”

Mick Evans, PEARD Sales Associate

The 1,419 sqm block is large by any measure and falls within the Beach Road Precinct. This gives the property significant huge Zoning & Redevelopment Potential.

In fact, the property has redevelopment potential of up to 8 storeys with bonuses of up to 12 storeys or more.

$1 million house on Colin Road

Just north of Scarborough’s median house price, is this west-facing family home on Colin Road, which is situated on a relatively large 826 sqm block. Similar to Brighton Road, the site does allow for development down the track albeit not to the same extent.

There are three large bedrooms with walk-in robes – the original fourth bedroom was combined with the third, but can easily be converted back.

 

The 1970s-built property has only had one owner.

$800,000 house on Northstead Street

Going for less than the median house price in Scarborough is this three-bedroom, one-bathroom home on Northstead Street. The house was recently renovated, including the bathroom, with fresh paint throughout.

$600,000 house on Northstread Street

Currently accepting offers in the $600k’s is this three-bedroom, two-bathroom house also on Northstead Street. It is a small block of 213 sqm, but has no strata fees.

The house boasts an open-plan living, dining and kitchen area with modern appliances and amenities.



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