• Mixed results across regional WA in December quarter

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    There were mixed results throughout regional WA in the December 2018 quarter, with three of the nine regional centres experiencing median house price growth.

    REIWA President Damian Collins said while regional WA’s overall median house price had performed well in the final quarter of 2018 (lifting 5.5 per cent to $335,000), it was important to assess each individual area on its own merit.

    “On a quarterly basis, the regional centres which recorded the biggest improvements in median house price were Busselton, Port Hedland and Bunbury, with their respective medians increasing by 11.2 per cent, five per cent and 1.5 per cent respectively.”

    “The increase in price in Busselton, Port Hedland and Bunbury – three of the larger regional centres in the state – was a big driver behind why regional WA’s overall median house price improved during the quarter,” Mr Collins said.

    On an annual basis (comparing the December 2018 and 2017 quarters), reiwa.com data shows the regional centres with the biggest increase in median house price were Karratha (up eight per cent) Busselton (up 5.7 per cent) and Albany (up 3.3 per cent).

    “Broome and Esperance saw the biggest decline in price during the quarter, with their medians coming in at $430,000 and $325,000 respectively, down 8.5 per cent and 4.4 per cent,” Mr Collins said.

    Kalgoorlie-Boulder was the only regional centre to record no change in median house price, with prices in the area having stabilised on both a quarterly and annual basis.

                Regional centre Median house price Quarterly change Annual change
    Albany $392,500 ↓ 1.7% ↑ 3.3%
    Broome  $430,000  ↓ 8.5%  ↓ 13.1%
    Bunbury  $345,000  ↑ 1.5% ↓ 5.5%
    Busselton  $555,000  ↑ 11.2% ↑ 5.7%
    Esperance  $325,000  ↓ 4.4% ↓ 10.0%
    Geraldton  $280,000  ↓ 0.9% ↓ 9.7%
    Kalgoorlie-Boulder  $305,000  - 0.0% - 0.0%
    Karratha  $329,000  ↓ 0.3% ↑ 8.0%
    Port Hedland  $210,000  ↑ 5.0% ↓ 8.7%
    Regional WA  $335,000  ↑ 5.5%  ↓ 1.5% 

    Sales activity

    Although overall sales volumes were down in regional WA, two regional centres recorded increases in activity during the December quarter.

    “It’s not uncommon for sales to drop off this time of year, as people are generally less inclined to purchase property in the lead up to the Christmas and New Year holiday season,” Mr Collins said.

    “Despite these seasonal influences, the Geraldton and Kalgoorlie-Boulder regional centres saw an increase in activity on both a quarterly and annual basis, with sales in Geraldton up 36 per cent compared to the September 2018 quarter and 10 per cent compared to the December 2017 quarter. Kalgoorlie-Boulder saw sales increase 10 per cent during the quarter and 17 per cent compared to the same time last year.

    “On an annual basis, Broome and Port Hedland also experienced an increase in activity, with sales up 12 per cent and seven per cent respectively when compared to the December 2017 quarter.

    “The local resurgence in mining projects has had a positive impact on sales in these regions, especially in Kalgoorlie-Boulder and Port Hedland, where renewed support in mining has created more local jobs and helped to boost population growth. With mining projects in these regions expected to continue to grow, this should have a positive impact on the regions’ property markets and aid in their recovery.”

    For more information about your local area, visit the WA market page.

    *reiwa.com data for regional WA now excludes the Mandurah and Pinjarra regions to bring the Institute’s data source in line with industry standards, as defined by the Australian Statistical Geography Standard 2016 published by the Australian Bureau of Statistics.