Perth Property Prices Set to Rise Another 10% in 2025

Perth’s property market continues to show resilience and momentum, with new data suggesting house prices are on track to rise by around 10 per cent in 2025. REIWA’s latest forecast points to strong buyer demand, supported by recent interest rate cuts, steady population growth and government incentives helping more people enter the market.

Growth Tracking Ahead of Expectations
As 2025 draws to a close, Perth’s housing market has largely followed the predictions REIWA set at the start of the year. Median house prices have risen by about eight per cent so far, reaching a record high of $810,000 by the end of the September quarter — with a further two per cent growth expected before the year’s end. Unit prices have climbed even faster, up 13 per cent for the year and on track to reach 15 per cent annual growth by December.

Units and Townhouses Lead the Way
While house prices have continued their steady rise, the unit and townhouse market has been the standout performer. REIWA data shows these property types are now outpacing detached homes for price growth — a trend driven by affordability and strong demand for well-located options close to the city. For many first home buyers and investors, villas, townhouses and apartments in suburbs like Maylands and Victoria Park are offering a more accessible entry point without compromising on lifestyle.

Buyer Confidence Remains High
According to REIWA President Suzanne Brown, Perth’s housing market continues to benefit from healthy demand and limited supply. Despite a modest increase in new home completions, the number of available properties remains low, keeping competition strong. REIWA expects this imbalance to continue supporting price growth well into 2026, with medium-density and infill developments playing a key role in addressing long-term housing needs.

Moderating Growth, Still Positive Outlook
Although the market has set new record highs, this year’s pace of growth is slower than in 2024, when house prices surged by 25 per cent. The moderation is partly due to affordability pressures and a higher starting price point, but the overall outlook remains positive. With population growth, steady employment and improving borrowing conditions, Perth’s housing market appears well positioned for sustainable gains over the coming year.

Rental Market Still Tight
Rents have continued to climb in 2025, though at a slower rate than last year. Median weekly rents are expected to end the year around $700 for houses and $675 for units — about five per cent higher than the same time in 2024. While rental growth has eased, limited housing stock means demand remains high, particularly in suburbs close to the city where supply remains tight.

Perth’s property market continues to show strength and consistency, with both buyers and investors remaining active as 2025 comes to an end. With limited supply and steady demand expected to continue into 2026, the city’s housing sector looks set for another year of measured but healthy growth.

If you'd like to talk about how this will affect your property plans, don't hesitate to contact the team at Bellcourt on 08 6141 7848.