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Perth's property market is experiencing unprecedented growth, with median house prices reaching $780,000-$850,000 as of September 2025.
The city has become Australia's fastest-growing capital city property market, with houses increasing 8-18% annually and units rising 13-21% over the past year. Perth now has over one-third of its suburbs with median house prices exceeding $1 million, while still remaining more affordable than Sydney, Melbourne, and Brisbane.
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Perth's median house prices have reached $780,000-$850,000 with units at $535,000-$607,000, making it Australia's fastest-growing property market in 2025.
Premium suburbs like Peppermint Grove command over $4 million while affordable areas like Armadale start from $560,000, offering diverse investment opportunities.
Property Type | Median Price (Sept 2025) | Annual Growth Rate |
---|---|---|
Houses | $780,000-$850,000 | 8-18% |
Units/Apartments | $535,000-$607,000 | 13-21% |
Townhouses | $650,000-$750,000 | 10-15% |
Premium Suburbs | $2M-$4.2M | 5-12% |
Affordable Suburbs | $560,000-$710,000 | 15-23% |
Up-and-Coming Areas | $650,000-$800,000 | 20-33% |

What are the current average property prices in Perth?
Perth's median house price sits at $780,000 as of September 2025, representing an 18% increase from the previous year.
Units and apartments have reached a median price of $535,000, showing even stronger growth at 21% annually. Some real estate data providers report median house prices closer to $850,000-$950,000 depending on the specific dataset and timing of the report.
The overall median dwelling price across all property types ranges between $814,000 and $954,700. This variation occurs because different agencies use different methodologies and timeframes for their calculations.
Perth's property market has outperformed all other Australian capital cities in terms of growth rate during 2025. The city's median prices reflect a market that has experienced over 75% growth since March 2020, making it one of the most dramatic property booms in Australia's recent history.
These prices position Perth as significantly more affordable than Sydney ($1.7 million) and Melbourne ($1.1 million), while being competitive with Brisbane and Adelaide.
How do prices differ between houses, apartments, and townhouses?
Houses command the highest prices in Perth's market, with medians ranging from $780,000 to $850,000 depending on the data source.
Units and apartments are significantly more affordable at $535,000-$607,000, making them attractive entry points for first-time buyers and investors. Townhouses typically fall between these two categories, ranging from $650,000-$750,000.
Interestingly, units have shown stronger growth rates than houses over the past year, with increases of 13-21% compared to houses at 8-18%. This reflects affordability pressures pushing buyers toward less expensive property types.
The price gap between houses and units has been narrowing as buyers seek alternatives to increasingly expensive detached homes. This trend suggests continued strong demand for apartment living, particularly in inner-city and well-connected suburban areas.
Investment yields also favor units, which typically generate 6.1%+ gross rental returns compared to houses at 5.3-5.9%.
Which neighborhoods are the most expensive right now?
Peppermint Grove leads Perth's luxury market with a median house price of $4.225 million, making it the city's most expensive suburb.
Suburb | Median House Price | Premium Features |
---|---|---|
Peppermint Grove | $4.225 million | Riverfront, exclusive enclave |
City Beach | $3+ million | Beachfront, premium amenities |
Trigg | $2+ million | Coastal lifestyle, modern homes |
Watermans Bay | $2+ million | Marina access, luxury developments |
Shenton Park | $2+ million | Inner west, heritage character |
Fremantle | $1.3+ million | Historic port city, cultural hub |
Hillarys | $1.2+ million | Marina, family amenities |
Over one-third of Perth's suburbs now have median house prices exceeding $1 million, a dramatic increase from previous years. The western suburbs dominate the premium market due to their proximity to beaches, established infrastructure, and prestige factor.
Bedford, Maylands, Southern River, and Kensington have recently joined the million-dollar club, indicating the expanding reach of Perth's price growth across different areas of the city.
Which areas are considered budget-friendly or up-and-coming?
Armadale offers Perth's most affordable entry point at $560,000 median house price, despite experiencing 23% growth over the past year.
Budget-friendly suburbs include Camillo and Parmelia at $600,000, Seville Grove at $650,000, and Baldivis at $710,000. These areas provide family-friendly environments with good growth potential and rental yields.
Up-and-coming investment hotspots include Balcatta, Piara Waters, Swan View, Nollamara, and Kingsley for houses. For units, Maylands, Leederville, Cloverdale, and Perth CBD show strong investment potential.
Baldivis stands out as both affordable and rapidly developing, with excellent family amenities and infrastructure projects driving future value. Clarkson and Beckenham are also considered promising areas with strong future potential.
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How have prices changed compared with one year ago and five years ago?
Perth's property market has experienced remarkable growth over both short and long-term periods.
Annual growth from 2024 to 2025 shows houses increasing 8-18% and units rising 13-21%. This makes Perth Australia's fastest-growing capital city property market during this period.
The five-year comparison reveals even more dramatic changes, with property values increasing over 75% since March 2020. This represents one of the most significant property booms in Perth's history.
Specific examples include Cannington rising 33% in one year to $700,000, while other suburbs like Ridgewood and Bullsbrook have seen similar explosive growth patterns. The growth has been broadly distributed across the city rather than concentrated in specific areas.
This performance significantly outpaces other Australian capitals, with Perth experiencing much higher growth rates than Sydney, Melbourne, or Brisbane over the same five-year period.
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What is the forecast for property prices in Perth for one year, five years, and ten years from now?
Short-term forecasts for 2026 predict more moderate growth of 4-7% as the market begins to normalize after the recent boom.
Five-year projections to 2030 suggest median house prices will reach $1.3-$1.4 million, with units expected to hit around $650,000. This represents continued growth but at a more sustainable pace than recent years.
Ten-year forecasts become less reliable, but if current trends persist with modifications, houses may exceed $1.6 million by 2035. However, market cycles, economic conditions, and policy changes make long-term predictions inherently uncertain.
The forecasts assume continued population growth, infrastructure development, and Western Australia's strong resource economy. However, rising interest rates and affordability constraints may moderate growth rates compared to the 2020-2025 period.
Most analysts expect Perth to continue outperforming other capitals in the near term but gradually converging toward national average growth rates as prices reach higher absolute levels.
How do prices in Perth compare to other similar cities in Australia?
Perth remains significantly more affordable than Australia's largest cities while rapidly closing the gap.
City | Median House Price (Sept 2025) | Affordability Compared to Perth |
---|---|---|
Sydney | $1,722,000 | 102% more expensive |
Melbourne | $1,064,000 | 25% more expensive |
Brisbane | $1,060,000 | 24% more expensive |
Perth | $850,000 | Base comparison |
Adelaide | $1,012,300 | 19% more expensive |
Perth's rapid growth has made it more competitive with other capitals, but it still offers better value for money. The city provides similar lifestyle amenities and economic opportunities at substantially lower entry costs than Sydney or Melbourne.
However, Perth's growth rate has been the highest in Australia, meaning this affordability advantage is diminishing over time. The gap between Perth and other capitals has narrowed significantly over the past five years.
For investors and residents, Perth currently offers the best combination of growth potential and relative affordability among Australia's major cities.
What are the average purchase prices for typical properties in different areas?
Property prices vary dramatically across Perth's diverse neighborhoods, offering options for different budgets and investment strategies.
In the affordable southern and eastern suburbs, properties range from $560,000 in Armadale to $710,000 in Baldivis. These areas typically offer family homes with good rental yields and growth potential.
Mid-range suburbs like Cannington ($700,000), Ridgewood ($715,000), and Bullsbrook ($750,000) provide balance between affordability and amenities. These areas have shown strong recent growth and appeal to both owner-occupiers and investors.
Premium western suburbs command $1.3-4.2 million, offering luxury properties with beach access, established infrastructure, and prestige locations. These areas suit buyers seeking blue-chip investments or premium lifestyle properties.
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What is the total cost of buying, including fees, taxes, and other charges?
Stamp duty represents the largest additional cost, typically ranging from $30,000-$40,000+ for median-priced properties, though this varies based on the exact purchase price.
Legal and conveyancing fees add $1,000-$2,500 to the purchase cost, while pest and building inspections cost $500-$900. These are essential for protecting your investment and are generally non-negotiable expenses.
Lenders Mortgage Insurance (LMI) applies when borrowing more than 80% of the property value and can cost several thousand dollars depending on the loan amount and deposit size.
Additional costs include settlement fees, transfer fees, and various government charges. For a typical median-priced property purchase, budget an additional $35,000-$50,000 beyond the property price for all associated costs.
First-time buyers may be eligible for stamp duty concessions or exemptions, which can significantly reduce these costs depending on the property price and their circumstances.

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What are the average mortgage costs, and how do they affect affordability?
Current variable mortgage rates range from 5.0% to 6.7%, with the average sitting around 6.7% as of September 2025.
Fixed rates are slightly more competitive at 4.9-5.9%, though these are typically offered for shorter terms and may revert to higher variable rates.
For a $700,000 home loan over 30 years, monthly repayments range from $3,200-$3,400 depending on the interest rate secured. This represents a significant portion of median household income and affects buyer capacity.
Perth households still spend a smaller percentage of median income on mortgage repayments compared to buyers in Sydney or Melbourne, maintaining the city's relative affordability advantage.
Rising interest rates have impacted affordability, but Perth's lower property prices partially offset this effect. Buyers should stress-test their borrowing capacity against potential rate increases to ensure long-term sustainability.
What are the best property choices if you want to live there, rent out short-term, rent out long-term, or resell later at a higher price?
For owner-occupiers, established houses or new builds in suburbs like Baldivis, Piara Waters, Clarkson, and Maylands offer excellent lifestyle amenities, family appeal, and good growth prospects.
1. **Short-term rental properties:** Inner-city apartments in Perth CBD, Maylands, and Leederville provide strong tourism appeal. Beachside suburbs like Fremantle and Scarborough also attract short-term renters, though seasonality and regulation risks should be considered.2. **Long-term rental investments:** Affordable family houses in Armadale, Baldivis, Ridgewood, and Camillo generate strong yields (5.5-6%+) with solid ongoing rental demand from families and professionals.3. **Capital growth investments:** Up-and-coming suburbs like Piara Waters, Beckenham, and Cannington offer the best resale potential, particularly areas benefiting from transport infrastructure projects and new amenities.4. **Blue-chip investments:** Premium western suburbs provide lower-risk, steady long-term capital growth for investors with larger budgets seeking established, prestigious locations.5. **Mixed-use strategies:** Combining house and unit investments works well in Perth due to shifting buyer and renter demand patterns across different market segments.It's something we develop in our Australia property pack.
What are the smartest investment or lifestyle choices to make in Perth's property market today?
Focus on high-growth affordable suburbs with strong rental yields of 5.5-6%+, particularly in Perth's southern and eastern corridors where budget constraints create opportunities.
Consider premium western suburbs for blue-chip, lower-risk investments if seeking steady long-term capital growth, though entry costs are significantly higher.
Watch market balance carefully as listing supply is rising and growth is moderating from the extreme rates of 2020-2024. Don't expect the recent pace to continue indefinitely.
Diversify between houses and units to take advantage of different buyer and renter demand patterns. Units currently offer better yields while houses provide stronger long-term capital growth potential.
Plan thoroughly for costs and rising interest rates, which significantly impact affordability. Budget clearly and stress-test loan scenarios with current rates plus potential increases to ensure sustainable investment strategies.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Perth's property market presents compelling opportunities for both investors and owner-occupiers, with the city maintaining its position as Australia's fastest-growing capital while offering better affordability than Sydney, Melbourne, or Brisbane.
The key to success lies in understanding the diverse options available, from affordable growth suburbs to premium blue-chip areas, and matching your choice to your specific goals, budget, and risk tolerance.
Sources
- REIWA - Perth's median house and unit prices continue to rise
- OpenAgent - Perth Property Market
- Domain House Price Report June 2025
- Smart Property Investment - Perth Housing Market Booms
- Adaptive Setts - Perth's Million Dollar Club
- REIWA - Perth's Most Affordable Suburbs 2025
- Canstar - Best Suburbs Perth
- Soho - Perth Property Predictions Next 5 Years
- Canstar - Home Loans
- Loans.com.au - Top Suburbs for Rental Yield in WA