Perth houses leading the way
Perth’s median house price rose 3.2% over the three months to April, according to Australian Property Monitors (APM).
This was the strongest amongst the capital cities, and took the annual growth in the median house price to 6.7%.
The unit market hasn’t performed so well. The median unit price rose a marginal 0.4% over the quarter, with the annual figure showing a drop of 0.6%.
Most experts predict growth in the Perth market will slow over the remainder of the year, as the market responds to changes in the mining industry.
Large WA mining projects are transitioning from a construction phase to a production phase.
“What’s happening in WA is not an end to the mining boom, it’s an end to the infrastructure boom,’’ said RP Data analyst Tim Lawless.
“If you find some indicators are weakening, they’re actually weakening from an exceptionally high level,” Mr Lawless said.
Local market commentators are expecting a slowdown in growth in the Perth market overall. However well selected properties should still generate strong capital growth.