The suburbs where property prices boomed in 2025

“Investment properties are also enticing in the regions, with plenty of room for rental yields to grow.”

But while the regions’ prices appear to be soaring, Cheryl Eley, from Kalbarri real estate agent with The Agency, said the data could be slightly misleading.

“While we have certainly seen growth, the market is so small – there are only around 3000 homes in Kalbarri,” she said.

“If we sell a few homes that are valued at $1 million or more, our median price soars.”

Eley said she had recently sold two homes for over that price, and one over $2 million, and that there had been renewed interest in the area and a shift towards owner-occupied homes after a new mine site opened near town and jobs became available.

“There are more families as well as retirees living in town now – you can’t deny that there are still a number of holiday homes, but there has definitely been a change,” she said.

The report found the housing market – both regionally and in the metropolitan area – was defying intense affordability and cost of living pressures by continuing to rise at rapid rates.

Owen said this could be down to buyers’ fear of missing out.

In November, there were 11,000 properties for sale across the state, compared to the historic average of 21,000, and in the Perth metropolitan area that number was 8500 compared to 15,000.

Total stock levels across WA were sitting 47 per cent below the historic five-year average in November.

Loading

“There is a strong sense of urgency which is reflected in the time spent on the market – properties are being snapped up in 12 days compared to a national median of 30 days,” Owen said.

But price growth has been much weaker in more expensive inner-city areas including Cottesloe, Leederville and Shenton Park, where the median home values are well over $1 million.

For units, Cockburn Central recorded the lowest change in value, followed by Rockingham and Doubleview.

But Owen said no suburbs in the metropolitan area had decreased in value.

Only Gingin recorded a decline in house values (down 0.2 per cent), and South Hedland recorded a decline in unit values (down 14.1 per cent), despite recording the highest growth in rental costs.

The most expensive suburb in WA was Peppermint Grove, where the median price for a home sat at more than $4 million, compared to the state’s most affordable suburb – Norseman – where homes cost $103,349.

There were 1023 homes sold in Baldivis in the 12 months to September, the state’s most popular suburb, with a median value of $819,288.

Over the past year, Perth home values increased 13.1 per cent, the second-highest increase after Darwin, and regional WA home values increased 15.3 per cent over the same period.

Start the day with a summary of the day’s most important and interesting stories, ***ysis and insights. Sign up for our Morning Edition newsletter.