The latest sales data (released by REIWA) for the March quarter shows that most Perth suburbs (68% of them in fact) experienced a fall in median property prices in the past year, but not all. Peppermint Grove, already the richest neighbourhood in WA, saw its median price rise by an astounding 31% to the stratospheric heights of $5.1mn. This means the middle price deal in the year to March 2009 was $5.1mn. But, then again, there were only 9 sales during the period (highest sale $8mn).
Overall, 184 suburbs saw their median price fall in the year to Mar 09, 53 were unchanged, and 36 rose. The Perth median price fell 2.3% to $430,000, its 5th consecutiove drop since the top of the boom in December 2007 ($465,000).
Dalkeith, with its famous $22mn sale in Dec 2008, came in 2nd in most expensive suburbs list ($2.66mn), with Cottesloe 3rd ($1.8mn), City Beach ($1.65mn) and Applecross ($1.55mn) rounding off the Top 5. All 4 experienced falls in their median prices (of between 2% and 13%).
As prices fall, so some economists say, so demand rises, and in the last quarter we have seen increased activity - with nearly all suburbs experiencing more sales in the year to March 09, than in the year to the two previous quarters (although well off the activity witnessed in 2007/08). There were 23,530 sales in the year to Mar 09, a 13% rise. Average sales per suburb in the year to Mar 09 was 86, up from 76 last quarter and 81 the quarter before.
Evidence (although very general) seems to point to a levelling out of the prices and a pick-up in property market activity. Are (dare we say it) now... finally... reaching the bottom of this market cycle? Click here for CHARTS of 276 suburbs.