Perth unit sales up

Perth unit sales during the March 2021 quarter reached the highest volume recorded since 2013, according to the latest data from the Real Estate Institute of Western Australia.

Unit sales in Perth increased by 58 per cent over the March 2021 quarter compared to the March 2020 quarter, with Perth house sales up 35 per cent during the same period.

REIWA president Damian Collins said unit sales were the highest they had been since 2013.

“Several factors are contributing to this,” Mr Collins said.

“With the shortage of houses for sale, more people are considering a unit as a place to live. Also, we have started to see investors return to the market and many prefer to buy units.

“While the number of units listed for sale in March 2021 is down 16 per cent compared to March 2020, this decline is not as steep as house listings, which have fallen 41 per cent during that same time frame.

“Apartments, townhouses and units also offer plenty of lifestyle appeal and convenience, as they are generally lower maintenance and positioned closer to the CBD and other amenities.”

Data from reiwa.com shows it took an average of 32 days to sell a unit in Perth during the March quarter – 25 days quicker than the 57-day average recorded in the March 2020 quarter.

However, the unit median selling time for the three months to March 2021 was still 17 days longer than the median selling time for a house (15 days).

The institute found Perth’s median unit price for the three months to March 2021 was $381,750, which was almost $120,000 less than the median house price of $499,000.

“Affordability is another factor contributing to the surge in unit sales. While Perth’s median house price has grown four per cent over the last year, the median unit price is only up 0.5 per cent,” Mr Collins said.

“REIWA is forecasting strong house price growth in 2021.

“With the rental moratorium over and near record low vacancy rates, it's likely the strong demand for units will continue throughout the remainder of 2021.”