Units Set to Outperform Houses in Perth’s 2025 Property Market

New data from REIWA’s latest quarterly update shows that unit prices in Perth are expected to grow faster than house prices in 2025. With house prices trending towards a potential 10% rise, unit growth is likely to hit 15%, offering buyers and investors fresh insights during the new financial year.

Over the past year, house prices increased significantly—sixteen per cent in Greater Perth—with the median rising from $775,000 to about $786,000 in the June quarter. However, units saw even stronger growth: their median sale price jumped 2.9% this quarter, reaching $540,000, following a sharp 20% rise in 2024–25. This surge reflects increased demand for more affordable housing and suggests that villas, townhouses, and home units are outpacing apartments in popularity, thanks to their balance of space, affordability, and individual outdoor areas.

While growth remains strong, future trends could be affected by two key factors. Global economic uncertainty—such as geopolitical tensions from ongoing trade disputes—may slow the market as buyers reassess financial security. Conversely, any cuts to interest rates could boost borrowing capacity and push demand higher for more affordable options like units and villas.

Rental trends also reveal a cooling off in some areas. Median weekly house rents fell from $695 to $680 between March and June, a modest 4.6% rise over 2024–25 compared with 12.1% the previous year. In contrast, unit rents rose by 1.5% to $660—up 10% annually—indicating continued tenant interest in smaller dwellings. Demand remains uneven, with urban areas still experiencing tight, competitive markets, while outer suburbs with newer stock are seeing slower uptake and, in some cases, falling rents for older, dated homes.

Outside the metro area, growth is being felt in regional WA. Albany and Geraldton are expected to top 20% growth in house prices this year, with Bunbury, Busselton, and Karratha around 15%. Broome, Esperance, and Kalgoorlie could see more modest rises of 2–5%, while Port Hedland may see a price dip. Rental performance also varies: strong in Albany, Bunbury, Geraldton, and Karratha, but more volatile in Broome and Esperance.

For anyone considering buying, selling, investing or renting in WA’s residential markets, suburb and property-type performance is key. With ongoing supply additions and some easing in rental growth, conditions are shifting—making specialist, local insights more important than ever.

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.