The Perth property market is operating at different speeds in line with asking prices, resulting in confusing mixed messages to sellers and buyers, according to RE/MAX WA Managing Director, Geoff Baldwin.
“Right now the local market is being driven along by vigorous competition for properties under $600,000 with many of this lower priced stock attracting multiple offers and sale prices at or even over asking price”, Mr Baldwin said.
“The $600,000 to $1.5 million price range is starting to see the feed through from this activity however certainly at a slower pace and with buyers being a lot harder on price.
“Above $1.5 million buyers remain few and far between and the sales that are happening in this range are still tending to be heavily discounted when compared to the lower ranges.
“The frantic buyer activity in the sub $600,000 market has seen pressure on prices and this is sure to result in the Perth median price pushing back up to or even beyond the previous record high.
“Collectively and in most cases individually, RE/MAX WA offices have just recorded best quarter in the history of the group and there is no sign of this demand subsiding any time soon.
“News of this renewed buyer interest is causing owners of higher priced properties to raise their expectations and in many cases stopping sales.
“In regards to higher priced properties, we predict that as people sell in the lower ranges they will increasingly buy up into a better property and this inevitably will result in a slow recovery right through the price ranges”, he said.