Perth Property Market 2026: What to Expect and How to Prepare

Economic Factors Influencing Perth's Property Market

Perth's property market is closely tied to its economic conditions, primarily influenced by the mining sector. As Australia continues to capitalise on resource exports, particularly iron ore, the demand for housing in Perth may increase. This growth could lead to a steady rise in property values, presenting both opportunities and challenges for investors.

Additionally, infrastructure developments, such as the expansion of public transportation and new residential projects, are expected to enhance Perth's appeal. These improvements can potentially increase property prices, especially in well-connected suburbs.

Demographic Trends and Their Impact

Perth's population is projected to grow steadily by 2026, driven by both domestic migration and international immigration. This population growth will likely fuel demand for housing, particularly in family-friendly suburbs with good schools and amenities.

As more young professionals and families move to Perth, there may be a shift in demand towards affordable housing and rental properties. Investors should consider areas with strong rental yields and potential for capital growth.

Perth's Housing Affordability

While Perth remains more affordable than Sydney and Melbourne, housing affordability remains a critical issue. With potential interest rate hikes on the horizon, prospective buyers should be prepared for changes in borrowing costs. As of 2023, the Reserve Bank of Australia has maintained a cautious approach, but any adjustments in monetary policy could impact mortgage rates significantly.

Practical Tips for Buyers and Investors

• Research Suburbs Thoroughly: Identify areas with strong growth potential and infrastructure projects that may enhance property values.
• Consider Long-Term Trends: Focus on suburbs with sustained demand due to proximity to employment hubs or educational institutions.
• Get Pre-Approved: With the possibility of interest rate changes, securing pre-approval can provide a clearer picture of your borrowing capacity.
• Work with Local Experts: Engage with Perth-based real estate agents and mortgage brokers, like Esteb and Co, who understand the local market dynamics.

Common Mistakes to Avoid

• Neglecting Due Diligence: Thorough research is crucial. Avoid making decisions based solely on market trends without understanding the specific suburb or property type.
• Overextending Financially: Ensure your financial plan accounts for potential interest rate hikes and other unexpected expenses.
• Ignoring Rental Demand: For investors, it's essential to consider rental demand in the area to ensure a steady income stream.

How Esteb and Co Can Help

At Esteb and Co, we specialise in providing tailored mortgage solutions to suit your unique needs. Our team of expert brokers can help you navigate Perth's dynamic property market, offering insights and advice based on real lending experience. Whether you're a first-time homebuyer or a seasoned investor, we are committed to guiding you through every step of the process, ensuring you secure the best possible mortgage deal.