Provincial Real Estate – the home of new beginnings insights & news What's REIWA's property prediction for the rest of 2025 in Perth? 2022 2010 Perth property prices are on track to grow by 10 per cent in 2025, according to REIWA’s 2025 property market quarterly update. REIWA President Suzanne Brown said house prices were currently trending towards 10 per cent growth, while unit prices were trending above 10 per cent, however there were a couple of factors that could affect price growth. “The most significant issue facing the property market at the moment is the Trump tariffs. They have the potential to create a recession in the United States and impact economies around the world, particularly some of our most significant trading partners,” she said. “Western Australia’s economy is in a strong position and we have relatively low direct exposure to the US market with our exports. However, the potential effect of the tariffs will create concern among the community, particularly in relation to employment security, and this in turn affects buying and selling behaviour. “Compounding this is the recent pause on tariffs and the potential for trade wars. Such economic volatility often sees people become more cautious. “On the other hand, we have been expecting several interest rate cuts this year and the tariffs and potential for an economic slowdown may bring these forward. “Under normal circumstances this would boost consumer confidence, increase borrowing power and put some upward pressure on prices, but if economic uncertainty remains high we expect the effect on property prices to be fairly low. “We won’t see the full impact of these two factors for some time. We will continue to watch the market and economy and update our forecast accordingly.” Perth’s median house sale price recorded preliminary growth of 2.7 per cent in the March 2025 quarter, with the median house sale price rising from $750,000 at the end of 2024 to $770,000. The median unit price increased 4.0 per cent to $520,000 over the same period, up from $500,000. Perth’s house and unit median sale price are both at record highs. Ms Brown said while moderate price growth was forecast for Greater Perth, conditions would vary from suburb to suburb. “The frenzied buyer behaviour that characterised most of 2024 has eased,” she said. “Our members report buyers are more discerning and taking more time in their purchasing decisions. They are also being more prudent with their spending, and this is likely to continue while the economic climate remains uncertain,” she said. “Sellers should not expect their home to sell at the first home open or to achieve the sensational price outcomes seen last year. “While that may still occur in some cases, we are seeing properties take longer to sell, price growth slow and, in some suburbs, sellers are having to discount their original asking price to achieve a sale.
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