Is the dream still alive? Navigating WA’s housing | Australian Markets

Buying a home is tougher than it was, however the stats show it’s not an insurmountable process.

Strong price growth over the previous 12 months means shopping for a first home has develop into more difficult, with some first-time patrons increasing their search to different suburbs or choosing more reasonably priced townhouses or flats.

Still, in response to Australian Bureau of Statistics (ABS), first home patrons made up 35.1 per cent of loans in the December 2024 quarter.

Additionally, altering market situations have seen the quantity of properties marketed for sale in Perth increase, up 41.5 per cent year-on-year in March to five,082 listings. There was a surge in new listings in October and November and constant quantity of listings since then.

Population growth has additionally slowed which has seen an easing in ‘FOMO-fuelled’ demand.

REIWA President Suzanne Brown stated these adjustments are enhancing the panorama for patrons.

“First home buyers now have more choice, and with homes taking slightly longer to sell and fewer properties selling at the first home open, they can take more time in their purchasing decisions,” Ms Brown stated.

“The median time to sell a house has increased to 13 days from nine a year ago.

“There is still strong demand for property, but not at the levels it was a year ago.”

The respiratory room is welcomed news, particularly contemplating how robust it’s to avoid wasting a deposit. With Perth’s median home price up 20.7 per cent in the previous 12 months to $766,500, it now takes an average of almost 10 years to avoid wasting a deposit, in response to ANZ. Interest charges and stamp responsibility solely add to the financial pressure.

Stamp responsibility, specifically, has been a sticking level. In a latest REIWA survey, 63 per cent of the 15,000 respondents considered it as a vital barrier to home possession. The good news? The re-elected WA Labor Government has responded with elevated thresholds.

“This would save a first home buyer nearly $18,000 on a property valued up to $500,000,” Ms Brown stated.

So how can potential patrons put together?

• Start by saving the quantity you anticipate to repay on a mortgage. This builds self-discipline and reveals lenders your financial habits.

• It sounds apparent however don’t go away your funds to the final minute. Before you begin to hunt for a property, make sure you may have a clear concept of what you possibly can afford.

• Get pre-approval early. It offers you a clearer finances and reveals sellers you’re severe.

• Avoid overloading provides with situations — it could weaken your negotiating energy.

• Be real looking about settlement timeframes. If you’re ready for finance approval, delays can occur. Allow not less than six weeks for paperwork and approvals.

• Attend home opens and use instruments like reiwa.com to match suburb knowledge — costs, growth, rent returns and facilities.

• Buying a strata property? Review Body Corporate AGM minutes and financials — particularly the reserve fund, which covers future upkeep of shared areas.

• For some, shopping for an investment property whereas renting the place you need to dwell may be a savvy strategy to get on the ladder. Just make sure you communicate to native brokers to grasp rental demand and what tenants are searching for, and that your finances accounts for prices like:

1. Interest charge will increase
2. Vacancies
3. Ongoing upkeep and repairs

• You may also be eligible for presidency assist, together with the First Home Owner Grant, the First Home Super Saver Scheme (FHSSS), or Keystart — a WA program serving to more people into home possession.
• If your dream suburb is out of attain, take into account close by ‘bridesmaid suburbs’. There are still bargains to be discovered: Orelia, Medina, Midland and Armadale offer homes effectively beneath the Perth median. For unit patrons, Orelia’s median price is simply $315,000.

“Before deciding on the type of dwelling and suburb, buyers should ask themselves how long they plan to live in the home, how far they are willing to travel to work, and if they see themselves starting a family there,” Ms Brown stated.

“A first home is often a stepping-stone along the home ownership path, not the final destination.”

While the path to home possession might look completely different than it as soon as did, for a lot of first-home patrons in WA, the dream is still very a lot alive — it simply takes a little further strategy, flexibility and assist to get there. For more data like this, go to REIWA.