Looking to buy in Perth? President of the Real Estate Institute of WA (REIWA) Damian Collins, who spoke at one of our Connect Events, shares his top five picks – as well as some tips – for first home buyers.
“We’re starting to see a recovery at the higher end of the market,” says Damian. He points to Scarborough – which he describes as “the Bondi of Perth” – as an area to watch.
“The state government has spent a lot of money on the redevelopment of the foreshore. What’s more, it’s got a stunning beach and it’s only 14km or so from the city.”
“Just west of the city and with some good public transport, I think West Leederville might be a strong performer,” says Damian.
"The whole of Leederville is rejuvenating. It’s got quite a popular café and restaurant area, and people like that type of lifestyle.”
On the northern side of the river and about 8.8km from the city, Damian describes Morley as “one of the key activity centres in Perth.”
“The median house price is around $450,000, which is certainly cheap for some first home buyers,” he says. “It’s very accessible from the city and employment centres, so I think it’ll perform particularly well.”
Damian sees Armadale, in the south-east and about 30km from the city, as “significantly undervalued.”
“The median house price there is around $240,000 and it’s on the trainline,” he says. “I think there’s certainly some opportunity there in the medium term for prices to perform reasonably well.”
About 14km from the Perth CBD, Forrestfield is due to get a trainline that goes through to the airport.
“It’s an area that’s been badly serviced by public transport in the past, but once that trainline goes through, I think it’ll perform quite strongly,” says Damian. “It’s going to be far more accessible, so that should really make it an area that people want to move into.”
“It’s a really good time for first home buyers in Perth to get into the market,” says Damian. There’s the possibility of a stamp duty exemption if the property is under a certain amount, so it’s worth doing your research.
“You can go and get a nice shiny new house in the outer suburbs, but if it’s not going to be near your work or suit your lifestyle, then maybe you want to think about looking at established homes in established suburbs where the median house prices are relatively low, such as in some of the suburbs I mentioned earlier,” he says.
But if you do decide on a new property, you might be eligible for the First Home Owners Grant (FHOG). Check the state government’s website for the latest info.
“At the moment, a lot of people in Perth are sitting on the sidelines saying the market could go down further and we might not be at the bottom yet,” says Damian. “But it’s hard to know exactly when the bottom’s going to be.”
“In the grand scheme of things, I’ve seen a lot of people miss out when they try to time it to get to the bottom. They wait and wait and wait, and then the bottom comes and goes without them realising it.”
“If you want to buy a home and can afford it, I’d encourage you not to sit on the sidelines.”
See more about buying your first home in a falling market.
“Talk to your Bankwest Home Finance Manager and get pre-approved for a loan first,” Damian advises. “By getting your finance sorted upfront, you’ll know what your budget is.”
Getting conditional approval for a loan can be quite straightforward. Our Home Finance Managers can walk you through it.