What's on the horizon for the Perth real estate market?
There are a lot of interesting aspects on the cards for the real estate industry in Perth. In addition to the wider national goal of going green with sustainably built homes, there are some locally specific real estate factors emerging. Let's take a gaze at what's on the horizon.
Turns out we Aussies love to shop, as the new Economy of Shopping Small Report commissioned by American Express found that we are willing to spend up to 30,500 more on a property just to live closer to a shopping zone.
Perth Now reports that this is affecting our local foodie culture, with properties near popular cafes, restaurants and eateries in shopping zones attracting higher prices or better investment opportunities. Victoria Park, Leederville, Maylands and Bassendean were listed as example suburbs. So, if you like to shop and dine, buy or build a home near a mall or retail district and enjoy!
Perth market is showing signs of stabilising
The Real Estate Institute of Western Australia (REIWA) notes that the Perth real estate market is stabilising in 2016. There has been an increase in the median house price to $540,000 for the three months leading up to December 31, which is a growth of almost 1 per cent on the previous month. Hayden Groves, president of REIWA, said that this kind of growth coupled with the fall in the number of properties for sale is a classic characteristic of a stabilising market.
Meanwhile, Perth Now adds that within this stabilising market are certain suburbs that are ripe for investment because they enjoyed a strong compound annual growth rate in 2015, and are generally quite affordable zones. Maddington was one suburb, with a growth of 4.1 per cent last year, as well as Kenwick (2.8 per cent) and Middle Swan (2.8 per cent).
Suburbs in the sky
While the desire to have a big backyard and live in a two-storey suburban house is still very high - the Real Estate Buyers Agents Association of Australia found this to be in the top 10 wishlist of most Aussie home buyers - there's a new wave of skyscraper apartments on the way.
The Council on Tall Buildings and Urban Habitat (CTBUH) reports that one of Perth's tallest skyscrapers will be constructed in Northbridge, a series of two twin residential towers at 202-metres and 174-metres high according to Perth Now. This 'vertical village' concept is growing internationally to accommodate the rising population worldwide and to provide residential housing in CBD zones.
Of course, you can have the best of both worlds by living along Perth's coastal corridors within a short driving distance of the CBD. Many of the apg homes display houses are close to the CBD, yet offering the comforts of suburban living near golden beaches and trendy shopping districts.