Although good for property investors wanting to snap up a bargain, the news that average house prices in Perth are back at the same level they were at in 2012 has raised concerns in West Australia.
According to statistics from the Reserve Bank of Australia, the 0.8 per cent decline in property prices recorded in the second quarter of 2017 has dragged the average asking price for a house in Perth back to its 2012 level.
Overall, average prices for homes in Perth have fallen by 8.5 per cent over the past two years, taking them back to the same value they had five years ago.
At the same time, average house prices in Sydney have risen by a huge 75 per cent, while the Melbourne property market has seen asking prices increase by just over half (51 per cent).
As a result, investors have been more likely to spend their money in markets outside of Perth, but local Property Council executive director Lino Iacomella is confident that conditions will pick up as more jobs are created in the area in the near future.
With this in mind, now could be a good time for property investors to make a move in the Perth market, before prices begin to rise again.
"There is a plethora of major infrastructure projects in the pipeline since the reveal of the state government's Metronet plans," Mr Iacomella explained.
"Creating long-term employment opportunities will draw people back to [Western Australia], driving the economy forward."
In the April to June quarter of this year, Perth wasn't actually the place with the greatest quarterly decline in property prices. That badge went to Darwin, where average asking prices fell by 1.4 per cent during the three-month period.
In contrast, prices in Melbourne grew by a healthy three per cent, Sydney saw a rise of 2.3 per cent and Hobart experienced growth of 1.8 per cent.
