Capes house prices smashing through peak, rises to continue throughout 2024: REIWA

A flat line for new listings is almost guaranteed to keep pushing up Margaret River house prices this year, according to experts.

Desperate homebuyers are increasingly resorting to online posts trying to eke out anyone thinking about upping stumps as fewer and fewer homes go on the market.

The latest state of affairs predicts the ongoing steady upward march of house values despite incredible growth since the start of COVID-19.

House prices in Margaret River have jumped more than 55 per cent in median value since March 2020.

Ray White Stocker Preston realtor Mark Murray told the Times it was hard to imagine any four-by-two in the region going for less than $750,000.

“The supply in the market has continued to tighten and we still sit in the State’s playground and are attracting much genuine buyer interest from locally, metro and beyond, including a few Eastern Staters,” he said.

“Median house price in Margaret River is $730,000 and Cowaramup is $850,000 with this not being bedroom, bathroom, land size or shed/garage-related.”

While the climbing values were bad news for renters, with the business sector also stymied by lack of accommodation for willing workers, buyers themselves were now increasingly struggling to find a place, Mr White confirmed.

“The desperation can neither be concealed nor denied,” he said.

“Thirty years of underinvestment in State housing has left the vulnerable more vulnerable and we are seeing a new brand of homelessness we have never seen before.”

Settlement agents were reporting an increase in private deals occurring off-market, the REIWA president said.

REIWA chief executive Cath Hart last week said population growth in WA continued unabated, underscoring the ongoing strength of the property market.

Furthermore, construction times on new homes was putting a squeeze on listings and adding to seller value.

“WA’s population remains the fastest-growing in the country, and there are little signs of this easing with the government adjusting its forecasts upwards,” Ms Hart said.

“This will maintain pressure on WA’s sales and rental markets.

The latest Australian Bureau of Statistics confirmed a 3.3 per cent jump in WA’s population for the 12 months to September 2023.