Perth property listings - under 9,000

Perth property listings @ 8912, figures just released.

The old 2007 benchmark of 12,000 has been well and truly breached, let alone the 2011 adjusted figure of 13,500.

As much as Aaron hates the word... is this a boom?
 
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I'm amazed at just how much things have changed since just before Christmas. Seems like the media finally woke up and it has been getting attention ever since. I haven't been back to Perth for a couple of weeks now - but from what I'm hearing demand is definately strong currently (presumably a combination of first home buyers with low rates & all the investors who have latched on to the media reporting the bottom of the cycle).

With the commodities still looking a little shaky this year it will be interesting to see how significant this upswing is (I am allowed to call it an upswing right?). I'm still undecided on this. Hopefully in a years time I'll be able to quote this post and say how wrong I was and house prices have skyrocketed!
 
Woweeeee gobsmacking.

I'm not saying boom - I am saying the market is back and prices are or will be rising.
 

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So what's driving it? Apologies upfront given I haven't studied the Perth market in depth but I mistakenly assumed Perth's run up a few yrs ago was too aggressive thanks to the resource boom.

It then stabilised a bit (my assumption being a return to parity/sensibility)...however what's prompting the heat now if you believe the sentiment bandied around in the media about all things mining slowing down?
 
My impression was that it is lower interest rates (cheaper or same to buy vs rent), plus there's apparently more than 1000 new people moving into Perth each week. This is no doubt on the back of the resources boom, so may slow down over the coming year?
 
So what's driving it? Apologies upfront given I haven't studied the Perth market in depth but I mistakenly assumed Perth's run up a few yrs ago was too aggressive thanks to the resource boom.

It then stabilised a bit (my assumption being a return to parity/sensibility)...however what's prompting the heat now if you believe the sentiment bandied around in the media about all things mining slowing down?

There will be better educated people on this forum to answer but thought I'd give you a few of my observations.

- Over 1,000 people moving to Perth every week creating a huge demand on rental properties. Rents have increased in Perth about 15% over the last 12 months.

- Huge surge in first home buyers due to the increases in rent combined with falling interest rates therefore a lot of suburbs now cheaper to buy than rent or thereabouts.

- Due to increase in rents, investors now pushing into the market.

- Shortage in housing and land availability. Currently there are sleep outs or ballot system at a large number or estates whenever there is a new land release.
 
I will also add that developers are now jumping in, so deve sites are getting snapped up, multiple offers, builders, investors.
I have been told 1 year ago these sites would just sit on the market.

In this market you need a lazy RE agent or an out of area agent to pick up a bargain, otherwise you are paying asking price and cash offers if a deve site.

Lots of fun:)
 
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