Buyers will need to bump up their budgets by more than $1m in these Perth suburbs
“The interior of Perth in terms of townhouses has been about the same, there are only $1000 [disparity]“There is quite a balance there,” he said.
“But when you look at the middle suburbs, that’s almost where buyers are willing to pay a lot more than listings in Perth’s middle suburbs.
“That tells me the location is prime, but I think it also shows the affordability impact of the rise in house prices and we know Perth has been an absolute growth story in recent years.”
The average search price for a townhouse within 10 kilometers of Perth’s CBD was $1000 higher than the average list price of $799,0000. But searches for townhouses 10 to 20 miles from the city were $800,000; this was $50,000 higher than the average listing price of $750,000.
Powell said he suspects buyers are turning to newer developments, noting that homes in the “middle suburbs” are only $20,000 more on average than townhomes.
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“I also think the effects of affordability mean that more people are probably considering other property types to find something that fits their budget,” he said.
“And, you know, the fact that there are search prices for townhomes that are $50,000 higher than the listed price in the middle suburbs also tells us that there’s a pool of buyers that are looking for a slightly more premium or different configuration than what we’re currently offering?”
As for the disparity between average search and listing prices in the Cottesloe-Claremont area, Powell said the result mirrored trends in other inner-city suburban capital cities, where there were “huge differences” between what people searched for and what was listed.
“And I think that’s where you kind of create a domino effect of people pricing out a home and then starting to look at other places or other types of properties to find something that fits their budget,” he said.
