Amongst the challenges, opportunities can still be found

There is no doubt Perth’s affordability has declined in recent years due to ongoing housing supply shortages. It is a classic case of decreasing supply versus increasing demand pushing up prices, along with the added cost escalations in relation to building materials and skilled labour. Just this week, The West Australian reported some couples in Perth are choosing between a wedding and buying a home, while traditionally affordable suburbs are achieving record-breaking home sale prices, with the suburb of Beldon recently reporting its first million-dollar sale. According to REIWA, the average price of a house in Perth has reached $720,000, and according to UDIA WA’s latest new land sales statistics, the average price of new vacant land is now sitting at $349,000. Despite the challenges in relation to affordability impacting many prospective new homebuyers, there are still affordable options available in and around Perth if you know where to look. In terms of the new land market, a house and land package can still be a very affordable option, and according to the latest UDIA WA land sales figures, the Shire of Serpentine Jarrahdale is home to some of the most affordable new land. The average price of lots sold in the shire during the September quarter was $275,000, which is well below the Perth average. There is good value to be had here, with the average size of lots sitting at 390sqm and developers offering blocks up to 600-700sqm. Suburbs such as Byford and surrounds within the Shire of Serpentine Jarrahdale will also benefit from the new rail station set to open in 2025, ensuring good long-term investment potential in the area. Looking north, the City of Swan also recorded an average price for new land in the September quarter, which is below the Perth metropolitan average. The average price of lots sold in Swan was recorded at $336,000, with the average size of lots being 356sqm. Growth areas in the City of Swan include the burgeoning suburbs of Brabham, Bullsbrook and Viveash. The imminent opening of the Ellenbrook-Morley rail extension on Sunday December 8 will herald new stations at Morley, Ballajura, Whiteman Park and Ellenbrook, all providing improved connectivity to suburbs along this line. UDIA WA continues to advocate for proactive solutions to the current housing supply challenges and, as an industry, we remain focused on delivering housing choice for new homebuyers across Perth and the regions.