Perth's Housing Market Sees Latest Developments and What Happened This Week

This week, the Western Australian government announced plans to accelerate the development of new housing estates in the suburbs of Ellenbrook and Jindalee, in an effort to keep up with the city's booming population growth. The move comes as the latest data from the Real Estate Institute of Western Australia shows that the median house price in Perth has risen to $650,000, with some suburbs experiencing growth of up to 15% in the past year.

The surge in demand for housing in Perth is being driven by the city's thriving resources economy, as well as the influx of new workers and families arriving in the city to work on the AUKUS defence contracts at the Stirling Naval Base. The base, located on the outskirts of Perth, is set to become a major hub for the production and maintenance of submarines and other naval vessels, creating thousands of new jobs and putting pressure on the city's housing supply. The Metronet rail expansion, which includes new lines and stations in suburbs such as Bayswater and Forrestfield, is also expected to drive up demand for housing in these areas.

Local Impact

In the suburb of Maylands, for example, the median house price has risen to $820,000, with some properties selling for over $1 million. The suburb's main street, Guildford Road, is also experiencing a surge in new development, with several new apartment complexes and commercial buildings under construction. Similarly, in the neighbouring suburb of Mount Lawley, the median house price has risen to $900,000, with the area's popular cafe strip on Beaufort Street becoming increasingly popular with young professionals and families.

According to data from the Australian Bureau of Statistics, the population of Perth is expected to grow by 15% over the next five years, with the majority of this growth occurring in the outer suburbs. The City of Stirling, which includes suburbs such as Scarborough and Innaloo, is expected to experience some of the highest growth, with the population projected to increase by 20% over the same period. As of June 2026, the city's rental vacancy rate has fallen to just 1.2%, with the average rent for a three-bedroom house rising to $520 per week.

What's Next

As the city's housing market continues to heat up, the Western Australian government is under pressure to deliver more affordable housing options for low- and middle-income earners. The government's Affordable Housing Strategy, which includes initiatives such as the provision of cheap land for developers and the construction of new social housing, is expected to play a key role in addressing the city's housing affordability crisis. For prospective homebuyers, the key will be to act quickly, with many properties selling within days of being listed. The REIWA website, which provides up-to-date information on the city's property market, is a good resource for those looking to buy or rent in Perth.