Key Points – Perth Property Market Update Q3 2025
-
Record-Breaking Quarter – After a slower start to the year, Perth roared back to life — with more than half of 2025’s total price growth coming from this quarter alone. Median dwelling price rose to $755,000, up 2.6% since July and 13.5% year-on-year.
-
Listings Vanish, Homes Fly – Active listings plunged to 2,749, down 30% year-on-year, while average days on market dropped to just 10 days. Listings are 45% below the five-year average — the tightest supply Perth’s ever seen.
-
Demand Hits New Highs – Perth is now averaging around 3,000 sales per month, far above the last market peak of 2,000/month in 2012–2013. Demand is at record levels and FOMO is back in force.
-
Local Buyers Drive the Surge – The east-coast investor wave has eased, replaced by local owner-occupiers and investors tapping home equity to buy in their own backyard.
-
Strong Economic Tailwinds – WA remains the nation’s top-performing economy, with population growth accelerating (13,378 overseas migrants last quarter) and mortgage affordability still healthy at around 34% of household income — well below past peaks.
- Next Quarter Could Be Pivotal – The expanded First Home Buyer 5% Deposit Scheme will open the doors to more buyers, likely intensifying competition and further driving prices. With only 6–8 selling weeks left in 2025, stock could tighten even further before the year’s end.
Full Report – Perth Property Market Update Q3 2025
If you’ve felt like For Sale signs are disappearing from Perth streets, you’re not imagining it. The September quarter was one for the record books: stock vanished, prices surged, and homes sold at lightning speed.
After a slower start to 2025, momentum has kicked back in hard. In fact, more than half of the year’s total price growth has come from this quarter alone. Perth is clearly back in the fast lane — and the next few months could be even stronger as new buyer incentives kick in.
The Numbers That Matter
(Source: REIWA)
– Median dwelling price (REIWA): $755,000, up 2.6% since July and 13.5% year-on-year.
– Over the last 5 years, prices are up 63.2% but nearly three-quarters of that growth (47%) has happened in just the last three years. Perth’s still early in its growth phase.
– Active listings: 2,749 at the end of September, down 7.8% in a single month, and 30.5% lower than last year. Only 60% of these are houses.
– Days on market: now just 10 days on average — 4 days faster than three months ago. Blink, and you’ll miss it.
– Sales activity: tracking around 3,000 sales per month over the past three months — well above the long-term average of ~2,000 per month last seen in 2012–2013.
The result? One of the most significant disconnects between supply and demand Perth has ever seen. Listings are sitting 45% below the five-year average, while sales activity is 6.8% above it (source: Cotality). Demand is as high as it’s ever been; supply is as low as it’s ever been.
Why the Market’s Running Hot
A trickle of new listings through winter, strong buyer demand, and seller hesitation have combined to create one of the tightest markets Perth has ever seen. As REIWA President Suzanne Brown put it:
“The significant imbalance between new listings and demand has seen homes sell extremely quickly and active listings fall rapidly. Under current conditions, prices will continue to increase; it’s just a matter of by how much.”
Fear of Missing Out (FOMO) is back in force, with buyers snapping up homes as soon as they hit the market. Many sellers, meanwhile, are holding off on listing, worried about where they’ll move next.
Adding fuel to the fire, local demand has replaced the surge of East Coast investor interest seen 12–18 months ago. Now, Perth’s own owner-occupiers and local investors are driving competition.
And with the First Home Buyer 5% Deposit Scheme taking effect from October 1, a new wave of demand is about to enter the market. Historically, these schemes have a strong stimulus effect, and prices tend to follow.
The Bigger Picture
WA’s economy continues to set the pace nationally. CommSec’s latest “State of the States” report has WA ranked number one for the fourth straight quarter, driven by strong retail spending, housing finance, private sector investment and population growth.
Perth’s population growth shows no signs of slowing, with overseas migration up 58% last quarter (around 13,378 new arrivals) and steady interstate migration of around 3,000–4,000 people per quarter. This steady inflow of people, jobs, and money continues to underpin housing demand at every level of the market.
Affordability remains a key advantage for WA. On average, Perth households spend around 34% of income on mortgage repayments — well below the 50% peak in 2007, meaning there’s still clear affordability runway ahead.
And with Perth property prices still offering exceptional value compared to the eastern states, WA’s relative affordability is one of its strongest drawcards — and a major magnet for both buyers and investors alike.
With population growth accelerating, stock levels shrinking, and the state’s economy proving remarkably resilient, the fundamentals all point to plenty of runway left before this growth cycle peaks.
Outlook for the Rest of 2025
With just 6–8 selling weeks left before the December slowdown, new stock is unlikely to replenish quickly. That means active listings could fall even further as we head into the end of the year.
At the same time, the expanded First Home Buyer 5% Deposit Scheme will add fresh demand pressure. Combined, this creates the perfect recipe for another strong quarter ahead.
For buyers and investors, that means:
- Act sooner rather than later. Today’s prices may look cheap compared to where we’ll be by mid-2026.
- Be finance-ready. With homes selling in under two weeks, having pre-approval in place can be the difference between success and heartbreak.
- Stay flexible. Have Plan B and Plan C in mind. While everyone rushes into hotspots, opportunities often hide in less obvious suburbs where competition is lower.
What This Means for You
In today’s market, knowledge, speed, and a clear game plan make all the difference. Properties are flying off the market in under two weeks, and buyer competition is heating up fast. The time to prepare isn’t tomorrow — it’s now, before the next wave of demand intensifies.
Perth’s growth story is only just gathering pace. For those ready to act, the months ahead could prove to be one of those rare windows that shape your financial future and your property journey for years to come.
📩 Get in touch → https://www.buyersadvocateperth.com.au/contact-us/
— View all Perth Property Market Updates
— Review the previous Perth Property Market Update here → Perth Property Market Update Q2 2025
.
Disclaimer
The information shared in this property market update is provided for general informational purposes only and should not be regarded as financial or investment advice.
While Buyers Advocate Perth strives to share insights that reflect current market conditions, we cannot guarantee the accuracy, completeness, or future outcome of any scenario described. Past performance is not a reliable indicator of future results, and the future remains inherently uncertain.
Readers are encouraged to seek independent professional advice from qualified financial, legal, or accounting experts before making any property or investment decisions based on this content. Any mention of insurance is purely informational and does not constitute personal advice.
Buyers Advocate Perth, its directors, employees, and associated entities accept no liability for any actions taken or decisions made by individuals or organisations relying on the information in this report. We are not responsible for any errors or omissions, nor for any losses, damages, or consequences arising from the use of, or reliance on, this publication.
By engaging with this report, you acknowledge and accept these terms.
