Perth Real Estate Market Update: Q2 2026 Insights

As we move into the second half of 2026, Perth’s property market continues to chart its own course.

While national headlines are focused on slowing markets, affordability pressures and proposed property tax reforms, Perth remains one of Australia’s strongest-performing capital cities. The pace of growth has become more measured, but the underlying fundamentals that have driven the market over recent years remain firmly in place.

So what are we seeing on the ground?

Perth Continues to Outperform

Many eastern state markets are beginning to feel the effects of softer buyer confidence and slowing price growth. Perth, however, continues to show resilience.

Population growth remains strong, housing supply is still constrained, and demand for quality homes continues to outpace available stock in many suburbs.

Recent analysis also suggests Perth is likely to dominate Australia’s next wave of million-dollar suburbs, with a number of areas expected to reach that milestone over the next 12 months.

While no market is immune to changing economic conditions, WA continues to follow a different trajectory to much of the country.

Property Tax Reforms Are Driving Conversation

One of the biggest talking points this quarter has been the Federal Government’s proposed property tax reforms.

Changes to negative gearing and capital gains tax, planned to commence from 2027, have prompted many investors to reassess their strategies. Some are bringing forward purchasing decisions, while others are taking time to better understand how the reforms could affect their long-term plans.

For Perth, the impact may look different to investor-heavy markets on the east coast. Much of Perth’s recent growth has been supported by owner-occupiers, population growth and limited housing supply rather than high levels of investor activity.

While it’s still early days, the proposed reforms are already influencing conversations across the property market.

Buyers Are Taking a More Considered Approach

The urgency we experienced throughout 2024 and 2025 has eased.

Buyers are spending more time researching the market, comparing properties and ensuring value before making an offer. Finance approval remains an important first step, and many buyers are carefully balancing lifestyle goals with affordability.

Despite this, quality homes continue to attract strong competition, particularly in sought-after coastal suburbs and established family-friendly neighbourhoods.

Strategy Is Becoming Increasingly Important for Sellers

We’re continuing to see excellent results for sellers, but success is relying less on market momentum and more on strategy.

Buyers have more choice than they did a year ago, making presentation, pricing and marketing more important than ever.

Homes that are professionally presented, strategically priced and marketed to the right audience are continuing to generate strong enquiry and competitive outcomes.

In contrast, properties that enter the market overpriced are often taking longer to gain traction.

Supply Remains the Biggest Challenge

Housing supply continues to underpin Perth’s market.

Construction costs remain elevated, labour shortages continue to impact new housing delivery, and established homes are still in high demand.

Until supply better matches population growth, these factors are expected to continue supporting property values across much of Perth.

Looking Ahead

The second half of 2026 is likely to be defined by confidence.

As buyers and investors gain greater clarity around interest rates, economic conditions and the proposed tax reforms, activity is expected to increase.

Rather than a sharp slowdown, Perth appears to be transitioning into a more balanced market. Growth is becoming steadier, buyers are more considered, and strategy is playing a greater role in achieving strong outcomes.

Local Knowledge Matters

While the rapid growth of recent years has moderated, the city’s strong population growth, limited housing supply and enduring lifestyle appeal continue to support demand.

For buyers, sellers and investors alike, local knowledge has never been more valuable. Understanding what’s happening in your suburb, rather than relying solely on national headlines, is key to making informed property decisions in today’s market.