Perth Real Estate March 2023 Market Update.
Did you know that the month of March is traditionally the peak property listing window? This can be attributed to factors such as the highs / chaos of Christmas and New Year finally winding down, the school year being in full swing allowing home owners to focus on getting their home ready for sale, people trying to catch the tail end of warm weather, as well as home owners trying to avoid the busy Easter / school holiday period in April.
The first half of March is typically when this surge occurs. This year however, sellers have erred on the side of caution with the national trend down 27.3% compared to this time last year, an overall 21.3% downward trend compared to the previous five year average.
More locally here in Perth data from March showed our real estate market remains buoyant despite the 10 consecutive interest rate rises. Low fresh stock remains a contributing factor to our solid market with the CoreLogic Perth home value index increasing 0.5 per cent in March, up 1.9 percent over this first quarter of the year. However speed of sales are also a contributing factor, with the median time on market for Perth in March being only 13 days.
“Buyer interest remains high, with good attendance at home opens and many properties receiving multiple offers – some even before an inspection.”
– REIWA CEO Cath Hart
“And sales figures exceeded 1,000 two different weeks in March. They have only done this three times so far this year.”
“The fastest median time to sell in the past 23 years was 12 days in March 2021.”
“Including March 2023, there have only been four months that recorded a median of 13 days, so it’s a very active market at the moment.”
Key Takeaway From March Data
With all this in mind here are my key takeaways from the available data:
- There is still growth occurring in the market, just at a moderate level, which is great news for both buyers and sellers.
- A property that is well presented and well priced will perform well.
- If your home isn’t attracting buyers look at some cosmetic upgrades, e.g. curb appeal, lick of paint, new kitchen hardware, improve the lighting, investing in property staging etc. What feedback is coming from home opens? Can you implement any works based on any roadblocks buyers have stated are stopping them from making an offer?
- If you don’t have the funds, time or interest in any cosmetic works, then perhaps it’s time to look at the price, pricing strategy or method of sale.
Tips For Buyers In This Market
If you’re currently in the market to buy a home my advice would be:
- Seek out agents in the suburbs you’re interested in buying in and register for their property alerts to make sure you don’t miss out or are able to attend any pre-market or VIP database launches. Not all homes are sold ‘on market’. A home owner may not want to spend any money on marketing, or may want a discreet sale, or the agent may be testing the market before listing a home to the full market.
- A less common strategy is to reach out to an agent about a property you like even if it has been listed as “under offer” It’s not inconceivable that a sale may fall through, this way the agent can reach out to you in the unfortunate circumstance it does come back on the market.
- Register for property alerts on the major real estate platforms. Life is busy, but with days on market at such low numbers it can be easy to miss a listing if you’re manually checking. Set up your preferences and criteria and let the notifications flow through to your inbox.
- Make sure your finances are in order if you can. With the consecutive rate rises some lenders aren’t prioritising pre-approvals given the month on month change to borrowing capacity. So whilst it might not always be possible to get the letter, having a broker who has pre-vetted your financials, that can even speak with the agent when you make an offer, can go a long way toward securing your offer, particularly in a multiple offer situation where the vendor want some certainty.
- If you find a home that you love, don’t be afraid to make your offer more personal. Include a letter or similar and explain to the owner what it is that you love about their home. Not every sale is about the highest purchase price. You never know they may be sentimental and want someone just like you to buy their much loved home.
For more guidance around buying a home check out my free guide, Buying a Home 101. You can access the guide along with other freebies on my free resources page here, or download the guide directly here
Ready To Make Your Move?
Thinking of selling your home? When you are ready I would love to hear from you about your goals. To offer you a quality selling experience that ensures you are supported with the right tools and expertise every step of the way. If you’re not quite ready to sell but want to start preparing your home, for a limited time you can request a free, no obligation pre-sale consultation. You can learn more about this offer here or get in touch with me on 0479 143 324 or visit the contact page here.
Source: REIWA and Corelogic
