Page 12 - REIWA.com Market Update / June Quarter 2017

PERTH CENTRAL SUB-REGIONHouseMulti-ResLandCentral Sub-RegionHouse SalesMedian PriceHighest PriceQrtly Change in Annual Median %OVERVIEWAccording to the latest ABS data (June 2016) the estimated resident population of the Central sub-region is 873,265 people over 444 square kilometres. The population trend in the Central sub-region is one of slow growth, li ing by only 0.4 per cent since June 2015. This means there are 1,891 people occupying a square kilometre in the region. The region is already well densi ed with a number of high-rise projects, but targeted medium density is needed.The Central sub-region remains the region with the greatest proportion of dwelling sales, with 41.4 per cent of sales for the June quarter 2017.Preliminary dwelling sales for the sub-region are 20.6 per cent lower than the same time last year. However, REIWA expects dwelling sales in the June quarter to rise to approximately 3,280 which would represent a nine per cent decline in activity levels in comparison to the same time last year once further transactions settle.LowerSales Quartile Median1,822 $475,000 $649,000864 $345,000 $425,000144 $320,000 $455,500Upper Quartile$900,000$560,000$672,500Source: Landgate/REIWA ©Qrtly change in Annual Median-1.4%-0.5%0.1%HOUSESMEDIAN PRICE (PRELIM)The 10 year average for house sales in the sub-region is approximately 2,778, so clearly, current activity is still dampened. Anecdotally, early indications from REIWA members suggest there have been more enquiries in the rst half of 2017 versus 2016.$649kQUARTERLY CHANGE-4.6%More interestingly, the greatest proportion of house sales (40.8 per cent) are happening at the price range of over $725,000. Traditional rst home buyer territory (under $500,000) only makes up 29.8 per cent of activity in the sub-region, which begs the question; are we forcing our rst home buyers into urban sprawl?SALES VOLUME (PRELIM)1,822QUARTERLY CHANGE-26.9%CENTRAL SUB-REGION HOUSING MARKET$800,000 $750,000 $700,000 $650,000 $600,000 $550,000 $500,000 $450,000House Sales (RHS)TOP 5 SUBURBS BY QUARTERLY CHANGE IN PRICESource: Landgate/REIWA ©4,000 3,500 3,000 2,500 2,000 1,500 1,000 5000Source: Landgate/REIWA ©10.9%8.7%7.3%6.0%5.8%LISTINGS FOR SALEIn the June quarter, preliminary house sales in the Central sub-region reached 1,822. This is 26.6 per cent lower than recorded in the March quarter 2017. However, REIWA expects house sales in the sub-region to li to around 2,200 once further transactions settle. This would represent a smaller decline of around 11.8 per cent compared to the same time last year.2,53410 Year Average SalesMedian House Price (LHS)AVE SELLING DAYS59% SELLERS DISCOUNTING48.49%AVE DISCOUNT OFFERED-6.80%Year to June 2017Applecross 83Cottesloe 86Attadale 55North Beach 39Shelley 57N.B. ltered for 30 or more sales per suburb.$1,420,000$2,000,000$1,180,000$1,060,000$1,000,000$10,500,000$8,800,000$3,900,000$2,200,000$2,150,00012 | REIWA.COMMARKETUPDATE | JuneQuarter2017Q2 2012 Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017