Where Is The Perth Property Market Really Heading in 2025?

Key Trends, Forecasts & What It Means for Landowners 🚀

Perth remains one of Australia’s top-growth property markets heading into 2025, powered by population growth, economic resilience, and persistent supply constraints.

📈 Forecasts & Market Drivers

• According to REIWA’s 2025 forecast, Perth house and unit prices are expected to grow by 5–10% this year, following an impressive 24.2% rise in median house values in 2024 Which Real Estate Agent+15REIWA Public Website+15HERE Property+15.

• SQM Research suggests possible upside of 14–19%, if the RBA implements early rate cuts Daily Telegraph+2Daily Telegraph+2Mont Property+2.

• A Reuters poll of analysts paints a strong picture: 5% growth expected in Perth for 2025, outpacing Sydney and Melbourne Reuters.

These forecasts reflect Perth’s unique position as a high-demand and supply-limited environment, making it an attractive landscape for both investors and sellers.

🎯 Why Perth Is Leading the Chart

1. Population Surge: With WA showing the fastest interstate migration in the country—3.6% growth in 2023 and strong projections ahead—housing demand is intensifying Subdivision Experts+15soho.com.au+15Justin Dixon+15.

2. Housing Supply Shortfall: New approvals lag well behind population growth, especially in growth corridors and infill zones Which Real Estate Agent.

3. Economic Stability: Low unemployment, resource sector strength, and infrastructure investment support Perth’s property fundamentals REIWA Public Website+3soho.com.au+3Land Sales+3.

4. Low Vacancy & High Yields: Rental yields of around 6–7% and vacancy rates under 2% continue to support investor interest Courier Mail+15REIWA Public Website+15Which Real Estate Agent+15.

   
   

🏘 Development Trends & Opportunity Pockets

• Medium-Density & Infill Growth

  Suburbs near new Metronet stations—such as Bayswater, Scarborough, and Ellenbrook—are hotspots for townhouses and duplexes Property Investment Australia+6Wikipedia+6Land Sales+6.

• Emerging Growth Corridors

  
  

  Outer suburbs like Baldivis, Joondalup, and Rockingham show strong appreciation, offering solid upside for subdividable and infill-ready properties REIWA Public Website+4Simply Wealth Group+4Land Sales+4Courier Mail+3soho.com.au+3Land Sales+3.

  
  

⚠️ Risks to Keep in Mind

• Interest Rate Timing: If rate cuts are delayed, growth may moderate to 5–7% rather than hitting higher projections Justin Dixon+1The Australian+1.

• Affordability Constraints: Rapid price growth may begin to outpace wage growth, limiting demand over time Justin Dixon+1Daily Telegraph+1.

• Policy Uncertainty: Upcoming state and federal elections could stall market activity temporarily Justin Dixon+1REIWA Public Website+1.

  
  

✅ What It Means for Landowners & Sellers

• High buyer appetite: Especially for properties with development potential—townhouse blocks, subdivisions, or commercial sites.

• Ideal conditions for off-market sales: Sellers can benefit from speed, privacy, and flexible deal structuring—especially when working with acquisition specialists.

• Informed timing matters: Selling in 2025 positions you to capture elevated value before affordability constraints bite in.

  
  

📊 Current Annual Growth Snapshot (Year-to-May 2025)

According to recent OpenAgent data:

• Perth house prices have risen approximately +8.1% over the past 12 months propertyinvestmentaus.com.au+6OpenAgent+6propertynxtaustralia.com+6.

• Unit prices are up around +13.1%, reflecting strong demand in affordable, inner-city housing 

  
  

Final Thoughts

Perth is cementing its role as a national property standout in 2025. With prices on the rise and structural supply shortages persisting, the window for savvy sellers remains wide open—particularly for those with development-ready land.

If you're considering selling or simply want to explore your property’s potential, reach out to MVP Property Group for an obligation-free discussion today.