Many people, including us, have written about the record median home price for the Perth market. You may not know this but Perth housing prices are higher than the $515,000 median price recorded during the mining boom. Along with Sydney, Perth is the only other capital city where housing prices are the highest they have ever been.
While Rockingham and Baldivis are “hot” market areas, a spike in sales of homes near the city are being partially credited by some observers as one of the reasons for the median home price rises. As those of you who have seriously looked for a place to live closer to the city may already know, suburbs closer to the Perth CBD are priced higher. When sales spike in the expensive suburbs, it causes a rise in the median price for the entire market.
The record low interest rates are also contributing to the rise in prices, not only in suburbs close to the CBD but across the entire market. According to the President of the Real Estate Institute of WA (REIWA), both variable and fixed mortgage rates are currently available for less than 4% interest. In the process of brokering home loans for the Baldivis, Rockingham and Kwinana, I have seen plenty of loans go out under 4%.
As long as rates remain low, it helps to make up for rising prices by making mortgage repayments lower than at higher rates.
How This Affects You
Rockingham and Baldivis are two of the four markets with the highest percentage of homes under $300,000. While our prices have risen along with the market, our distance from the CBD makes us an affordable alternative to homes closer to Perth. We have easy access to Perth for those who want to commute but without the high prices of inner circle homes.
In addition, the lifestyle is a lot more “laid back” here, as Rockingham is still known as a “sea change” destination to many. While we have had a lot of growth, many of those who have moved here did so for sea change. This gives our area a “flavour” unlike those closer to Perth.
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