Regional centres show moderate price growth
Demand for ‘old’ Bunbury helped it outperform Busselton as the top performing regional centre during the December 2022 quarter.
reiwa.com data showed Bunbury’s median house price rose 2.3 per cent to $420,000 for the quarter, and 9.1 per cent for the year. Busselton recorded 1.5 per cent growth to $660,000 for the quarter
and was again the top performer annually with 20 per cent price growth.
REIWA President Joe White said there had been a lot of interest in ‘old’ Bunbury recently.
“What has been selling lately are older homes on good-sized blocks near the beach, such as in Usher, Withers and Carey Park,” he said.
“These are cheaper areas and offer good value – it’s a case of the worst house in the best street. These properties offer opportunities to renovate or build close to the coast, in areas that are likely to see some rejuvenation in future.
“Overall, Bunbury is a robust area offering a range of employment opportunities. It is good to see more young people buying in the area and the education facilities appeal to families, while we’re seeing older residents stay as the available health care improves.”
The northern centres of Karratha and Port Hedland were the next best performers in the December 2022 quarter with 1.9 per cent and 1.8 per growth respectively.
Most regions showed moderate price growth or remained stable over the quarter. All regional centres saw median house prices increase over the year.
“Like Perth, the regions are showing resilience in the face of interest rate rises,” Mr White said.
“A strong economy, low unemployment, affordable housing and ongoing population growth, which will be further boosted by the State Government’s recruitment drive, will continue to support the WA market.
“It won’t just be Perth that benefits from the push to attract workers from the UK, some migrants will move to the regions, which will support those property markets as well.”
Mr White said the State Government’s investment in ports would also benefit regional centres.
“The McGowan Government is investing $332 million to optimise growth at Geraldton Port and $10.7 million to improve Bunbury and Esperance Ports. The Federal Government has just announced a $565 million funding boost for Pilbara Ports,” he said.
“Infrastructure upgrades like this are extremely beneficial for regional areas – look at the effect the Busselton airport redevelopment had on Busselton, Dunsborough, Margaret River and Bunbury.
“Investment in ports, particularly those that export a variety of goods, will have a flow-on effect to local economies and employment, to continue the population growth in regional centres.”
When it came to the rental market, the results were mixed. Five centres saw their median rent price increase, while it decreased in four.
The best performers over the quarter were in the North-West, with Broome recording 19.3 per cent growth, followed by Port Hedland with 12.9 per cent.
