Perth, the well kept secret the rest of the world has soon to discover. Despite sharp price falls in recent months, we have some of the nations biggest house prices earning us the 2'nd, 5'th, 7'th and 8'th position in a recent newsletter from Propell National Valuers according to and article published in the West Australian earlier this week. From $18'000'000 for a home in Dalkeith to a West Perth apartment asking $12'000'000, the city is labelled one of Australia's most wanted.
A forecast from the Residential Development Council after a report compiled by Matusik Property Insight forecasts Western Australia's population is estimated to grow 39% by 2027, it is estimated Perth would need 17'000 homes per annum for the next 5 years and it is reported in the wa business news, in accordance with the council, builders in Perth are delivering a shortfall of 3'553 homes per year. If demand continues to outweigh supply we may well again see prices on the rise. The slight rise in the Median house price suggest in realestate circles we are in some respects heading back to a normal market.
In interesting articles in the West Australian, Professor Weller from the UWA said Perth needed to accomodate at least 1.5 million extra people and 700'000 homes in the following 40 years.
Despite the downturn in job advertisements in June at 51.4% down on the same month last year, there was a slight rise in newspaper advertising in WA. Adverts in WA rose 3.6%, the first increase since January, reportedly.
Interest rates remained unchanged by the Reserve Banks meeting earlier this month at 3% with reports of a chance for a further quarter % point cut later this year.
UBS chief economist Scott Haslem said according to an article in the West Australian, their continued to be signs of stabilisation in the job market, although this week's unemployment report was likely to show the jobless rate edging up to 5.9% from 5.7%. He said the Reserve was more likely to cut rates in coming months as unemployment edged higher and growth slowed or contracted.
According to an RP Data senior research analyst rental prices in Perth jumped 12.4% for houses and 8.6% for units in the 12 months to May. Perth's rental yield improved from 3.8% to 4.5% for houses in the same period, with the suburbs of Tuart Hill, Mirrabooka and Nollamara in the top 5 while the rental return for units has jumped from 4.4% to 5%, with the suburbs of Jolimont, West Perth, Stirling and Perth coming in under the Top 5, in a West Australian report. The demand for rentals appear to be softening with lower interest rates, and first home buyers taking advantage of the extended grant incentives. Some investors may find this market enticing with price falls and rising rents, where as others are thought to be delaying decisions ready to jump in 2010, avoiding the healthy first home buyer competition.
We think we will continue to do well if we can keep up supply, as we are growing from strength to strength.
A forecast from the Residential Development Council after a report compiled by Matusik Property Insight forecasts Western Australia's population is estimated to grow 39% by 2027, it is estimated Perth would need 17'000 homes per annum for the next 5 years and it is reported in the wa business news, in accordance with the council, builders in Perth are delivering a shortfall of 3'553 homes per year. If demand continues to outweigh supply we may well again see prices on the rise. The slight rise in the Median house price suggest in realestate circles we are in some respects heading back to a normal market.
In interesting articles in the West Australian, Professor Weller from the UWA said Perth needed to accomodate at least 1.5 million extra people and 700'000 homes in the following 40 years.
Despite the downturn in job advertisements in June at 51.4% down on the same month last year, there was a slight rise in newspaper advertising in WA. Adverts in WA rose 3.6%, the first increase since January, reportedly.
Interest rates remained unchanged by the Reserve Banks meeting earlier this month at 3% with reports of a chance for a further quarter % point cut later this year.
UBS chief economist Scott Haslem said according to an article in the West Australian, their continued to be signs of stabilisation in the job market, although this week's unemployment report was likely to show the jobless rate edging up to 5.9% from 5.7%. He said the Reserve was more likely to cut rates in coming months as unemployment edged higher and growth slowed or contracted.
According to an RP Data senior research analyst rental prices in Perth jumped 12.4% for houses and 8.6% for units in the 12 months to May. Perth's rental yield improved from 3.8% to 4.5% for houses in the same period, with the suburbs of Tuart Hill, Mirrabooka and Nollamara in the top 5 while the rental return for units has jumped from 4.4% to 5%, with the suburbs of Jolimont, West Perth, Stirling and Perth coming in under the Top 5, in a West Australian report. The demand for rentals appear to be softening with lower interest rates, and first home buyers taking advantage of the extended grant incentives. Some investors may find this market enticing with price falls and rising rents, where as others are thought to be delaying decisions ready to jump in 2010, avoiding the healthy first home buyer competition.
We think we will continue to do well if we can keep up supply, as we are growing from strength to strength.
FURTHER READING REFER SOURCE ARTICLES:
THE WEST AUSTRALIAN
Australia's most wanted by Raquel de Brito
Architect looks up and out in planning for Perth by Beatrice Thomas
Rental returns lure investors by Kate Campbell
Online ads hit in job vacancy fall by Shane Wright
WA BUSINESS NEWS
Housing pressure by Dan Wilkie
RP DATA
*Figures are indicative
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