WA Perth market 2019

The problem is that statistics are not granular. Also, if a product in an area is low volume then the stats can easily be skewed by a few sales. For example, a mate bought a family home in North Perth and had to pay over asking to secure the deal with multiple buyers competing for the property. If you could narrow down the stats on houses in North Perth, the price may be increasing at the same time units in the same area are still declining and houses in the outer suburbs are also declining. This does not mean "the Perth market" is recovering but if you are looking for a single family home in North Perth or Mt Lawley and hanging out for those bargains, because everyone says the market is still dropping, then expect to be disappointed. * not *you* personally, of course.

I was reading today that someone has figured out that the average wage to median house price in Perth was 2.5x in 1990. So, when the average salary to median house price in Perth reverts to the mean (2.5x), the median house price in Perth will be $257,000. lel

 

Being from Sydney I already see Perth as cheap as chips! You get a hell of a lot for your money here as it is.

 

I'm organising a Perth catch up guys. Linky here WA - Perth Meetup Sunday 31st March 2019

 

The most recent assessment of the Australian property market by CoreLogic makes some sobering reading.

https://www.macrobusiness.com.au/wp...oreLogic-Aussie-housing-declines-Feb-2019.pdf

 

Eeeeppppp Darwin

 

Major part of the central section of Northlink which connects Ellenbrook to Morley is now open. More specifically the Tonkin Highway / Reid Highway interchange is completely open. I just drove from Ellenbrook to Morley almost nonstop in 15 minutes. What a beauty.
What do you guys think, is it going to affect Ellenbrook positively? Now that it is much more easier to access.

 

I have much better ways to loose money than invest in a suicide estate like Ellenbrook/Aveley. Byford to Canning Vale (lots of industrial jobs) can be done in 20+ minutes. Is that a positive thing for Byford?

Why drive to Morley when the same money will fetch you seomthing half decent in Morley? In fact a bit more money and can buy into Bayswater with great fundamentals.

 

Speaking of Morley, Curious, whats everyones opinion on the area, has there been any update on the train line ? Galleria redevelopment (which looks like its been canned?)

Ive got a duplex there (on the west side of tonkin hwy, bordering Embleton). Was always planning on living in it but in the resources crash had to move to Brisbane for work. My property manager keeps telling me to hold out for the next few years for the area to come good but we all know real estate agents haha

 

I saw the Galleria plans in the local paper and online recently, certainly in the last month?

 

looks like it been "deferred" rather than canned completely.

Centre Redevelopment - Galleria Shopping Centre | Perth WA

 

The residents of the area will be much happier - just like when Gnangara Rd went from one lane each way to dual carriageway but I don't think we'll see much tangible impact in terms of market values.

Personally I travel it anywhere between 1 and 4 times a day so I'll be as happy as a pig in mud once everyone learns how to use it. Now if they could finish making Reid Hwy a dual carriageway I'd be a happy unicorn.

 

Morley-Ellenbrook line has been put on the long term projects list by the fed, ofcourse WA government is trying to fast track it but things are slow at best.

Is that a duplex pair or a duplex potential lot?

 

I just got a $20pw increase on my rental property which is on the Bayswater / Inglewood border

 

What sort of %is that?
On a renewal? On new tennant?

I’ve been trying to push mine up bit by but. But the existing tenants are certainly pushing back very hard!

 

Duplex pair. Just the standard sort of pair you find around that area.
Thought i was being smart enough at the time as i knew i could afford the mortgage living on Perth wages knowing i would lose my FIFO job eventually.
Didnt quite anticipate the not being able to find a job at all in Perth and having to go interstate, hindsight is a marvelous thing! haha

 

If it is a duplex pair then the CF impact should be minimal. I would keep it. When rental vacancies tighten, put the rents up bit by bit.

 

You have to be prepared to walk away to get the best deal so you need to call their bluff, it's an exisitng tenant.

 

Just got another $10pw rise in Hamilton Hill, existing tenant, they were not happy but I dont care.

 

Big bank style, lure in with low interest rates and hike, hike, hike lol

In all seriousness though, about time rents come back up. I just sent in a $15pw increase for my Vic Park tenant with 3 months left on the lease. Will see how it goes but I am sure he'll take it.

 

Have a question for the Perth locals around landbanking some R30+, 700sqm+ blocks with old houses on them in the traditionally lower socio-economic areas e.g. Gosnells, Armadale etc. Understand that these areas aren't desirable - however the numbers for holding could make sense? Especially as these councils are pro-development (from what I have looked into, please correct me if I am wrong).

Low 200k's at low 200's rent, means you can afford to hold until the market turns (medium-long term?)

Subdivide/build when it does and the $$$ could make sense?

What are peoples thoughts?