First-home buyers still active in the June quarter

First-home buyers still active in the June quarter

FIRST-HOME buyers continue to be active, with REIWA figures showing the bulk of sales in the June quarter occurred between $350,000 and $550,000.

President Hayden Groves said WA was in a unique position, with the easing of property prices in recent times making home ownership more accessible.

“Across the country, particularly in the Sydney and Melbourne metropolitan markets, first-home buyers have found it increasingly difficult to secure their first home as prices continue to rise in those capitals,” he said.

“We’re very fortunate in WA that home ownership is still accessible, supported in part by the Barnett Government’s transfer duty exemptions for first-home buyers paying up to $430,000.”

The strong activity in lower price brackets saw the preliminary median house price in the three months to June fall 1.4 per cent to $522,500, while the median unit price declined 6.9 per cent to $406,000.

In a positive sign for the market, the number of properties for sale in Perth in the June quarter fell 7.3 per cent to 14,159, down from 15,269 in the March quarter,

The preliminary number of sales for the state was 5858, but Mr Groves expected this to rise to about 8,200 over the next few weeks as more transaction settled.

“For example, the March quarter preliminary dwelling sales data was 5852, but was then later revised up to 9061 transactions,” he said.

The average time to sell a property fell two days to 64 days and the number of sellers having to discount their asking price also improved, suggesting they now had a better understanding of the market conditions.

“Homes that are priced correctly for the market from the start are selling quicker,” Mr Groves said.

“It’s important sellers listen to the advice of their agent and don’t have unrealistic pricing expectations.”

In the rental market, listings increased to over 11,000, partly as a result of sellers who were unable to reach their desired outcome choosing to list their property for rent.

This increase put some downward pressure on rent prices, with house and unit median rents dropping $10 each over the quarter to $395 and $365 per week respectively.

Leasing activity fell five percent.