The month in review: Perth property market updates
By Herron Todd White
In this edition, we look at some of the best locations within the Perth metro area and whilst there are a plethora of suburbs we could discuss, we have narrowed it down to the iconic beachside suburb of Cottesloe, the coastal suburb of North Coogee, the riverside suburb of Salter Point and the character filled suburb of Subiaco.
Cottesloe Property Market
Cottesloe is a coastal suburb situated approximately 10.5 kilometres south-west of the Perth CBD. Revered for its beach-side lifestyle, Cottesloe boasts several pubs, restaurants and cafés along Marine Parade including The Blue Duck and Ocean Beach Hotel. Other amenities in the area include Sea View Golf Club, Cottesloe Tennis Club, Cottesloe Rugby Union Football Club, Dog Beach, Deane Street Beach and of course the famous Cottesloe Beach. The Fremantle train line runs along the eastern side of Cottesloe making transport to the CBD easy, with four different stops at Victoria Street, Mosman Park, Cottesloe and Grant Street.
Cottesloe’s housing options predominantly consist of fully detached dwellings on lots that vary in size and elevation. Views also differ significantly by location due to the inclining contour of the streets. Generally, properties within 300 metres of the coast are more likely to enjoy the benefits of ocean views however this varies from street to street. Looking south, some properties benefit from distant views of North Fremantle and Mosman Park; looking east you will most likely see along Stirling Highway and into Peppermint Grove; and if you live to the north and are northern facing, you may have views of Swanbourne.
As an estimate, the median lot size in Cottesloe is close to 650 square metres. Dwellings in Cottesloe also vary substantially from original 1940s builds up to modern luxury residences with most homes benefiting from at least some form of renovation over their life span.
Realestate.com.au currently has 93 listings for Cottesloe including apartments, units, townhouses, detached homes and vacant land with 14 percent of stock currently under contract. Recent vacant land sales in the area suggest a wide range of land values from $1,600 per square metre in inferior locations with irregular shaped lots to upwards of $6,000 per square metre for lots with significant views close to the coast line.
The median house price in Cottesloe is currently $2.145 million, up 0.9 per cent from the September 2018 quarter and up 0.2 per cent since the end of 2017. The median unit price is $865,000, up 8.8 per cent since the end of 2017.
This Overton Gardens property (pictured above) sold for $2.25 million in September 2018 as part of a modern unit complex at Overton Gardens, Cottesloe. On a 225 square metre allotment, this dwelling consists of three bedrooms, two bathrooms and two car spaces and was built to a high specification.
This property (shown above) was built in 2000 and is located 400 metres inland at the northern end of Cottesloe on Brighton Street. It comprises four bedrooms, two bathrooms, a double garage and a pool on a 629 square metre allotment. It sold for $2.28 million in November 2018 after just four days of listing, proving strength in Perth’s prestige market.
This two-storey dwelling (pictured above) was originally built in 1956 but has been significantly renovated since that time. The dwelling comprises a pool, five bedrooms, four bathrooms and a double garage on an 817 square metre sloping allotment. It sold for $2.35 million in June 2018 after 132 days on the market – $150,000 under the original asking price of $2.5 million.
This Curtin Avenue property (shown above) is an example of what you can purchase in Cottesloe at entry level for a fully-detached home. It is located on the north-east perimeter of the suburb facing south-east and looks out onto West Coast Highway which would be undesirable to most. The dwelling was originally built in circa 1969 and has a mostly renovated interior. It comprises four bedrooms, one bathroom and a pool on 537 square metres of land. The exterior has been left untouched. Whilst it is being marketed without an asking price, expectations are in the low to mid $1 million range.
For many of us, significant compromises would have to be made in order to own a Cottesloe address. The easiest way to buy into this market is to extinguish your desire of owning fully-detached property. The cheapest unit or apartment on the market in Cottesloe currently is a one-bedroom, one-bathroom and one-car space, 45 square metre, circa 1965 unit on McNamara Way (pictured above) that backs onto Stirling Highway. The owners are taking offers above $245,000. Understandably this is probably not the level of sacrifice that most would be willing to make in order to own property in such a prestigious suburb.
For couples who have children, unless you can afford purchases above the $1 million mark it is unlikely that you would be buying property in Cottesloe, as below this point you’re really only looking at properties with two bedrooms. Good news if you do manage to purchase fully-detached property in Cottesloe though, as it has historically been fair in value increases, averaging three per cent price growth over the past five years compared to growth in the Perth metro region of minus 0.8 per cent.
North Coogee Property Market
North Coogee is a developing coastal suburb in the City of Cockburn, situated approximately 18.5 kilometres south-west of the Perth CBD and less than five kilometres south of Fremantle. North Coogee was created in late 2006 incorporating the surrounding suburbs of Hamilton Hill, Spearwood and Coogee and is said to be home to a few of Fremantle Football Club’s recent stars. South Beach and Port Coogee are the two primary residential estates in North Coogee comprising quality multi-level residences, modern strata dwellings and vacant lots.
North Coogee has a few parks and reserves close by and is in close proximity to Coogee Beach and Woodman Point. The Port Coogee Village Shopping Centre provides shopping resources for local residents. Getting to the Perth CBD via public transport is fairly simple from North Coogee as a bus goes directly to Fremantle Train Station which can then be used to get to Perth at a travel time of under one hour.
Realestate.com.au currently has 158 total listings for North Coogee including apartments, units, townhouses, detached homes and vacant land, with 11% of stock currently under contract.
The current median house price in North Coogee is $1.165 million, remaining stable over the December 2018 quarter but increasing 2.9 per cent in the past year. The unit median is $560,000, down 23.3 per cent from the end of 2017, but up 3.9 per cent in the past quarter. This figure is susceptible to fluctuations as often the expensive penthouse and top floor apartments are purchased quickest in new complexes and as such, when the rest of the cheaper product is purchased in the months or year following there is a quick decline in the median price. Also, Perth is still feeling the effects of low population growth and as such, demand has eased.
North Coogee’s housing options are limited in age as it is a newly developed area, however it is quite diverse in product type. There are a few apartment complexes on Coromandel Approach, Orsino Boulevard and O’Connor Close. These offer apartments from 82 to 270 square metres with one-bedroom and one-bathroom, to three bedroom and two-bathroom units, as well as an array of views from inland, to marina, to ocean scenes. Along Ocean Drive there are a number of prestige strata development townhouses which are currently being purchased off-the-plan.
Slightly further inland there is the standard form land development on 300 to 600 square metre allotments. Two-storey fully detached dwellings are usually seen here.
Othello Quays (pictured above) is the closest you will get to the centre of Perth for marina living with direct access to a canal from your backyard. Similar to the canals seen in Mandurah, these lots vary in size and value but are generally around $1,500 per square metre for vacant land.
This property (pictured above) is part of the beach-front strata development mentioned before. On completion, it will feature three bedrooms, two bathrooms and a double garage on a 254 square metre allotment. It was purchased off-the-plan for $2.1 million in January 2019.
For units, absolute entry-level property starts at around $250,000. This would get you a circa 2014,one-bedroom, one bathroom unit on Breaksea Drive, further out from the marina. On Shoalwater Street you can get one-bedroom, one-bathroom units from $320,000.
For vacant land within Port Coogee, 180 to 250 square metre lots have been selling for $305,000 to $385,000 over the past year. If you are looking at buying established fully-detached dwellings then you will be looking at just under $1 million for the cheapest product. If you are willing to look at semidetached townhouses then prices start from about $600,000 for a three-bedroom, two-bathroom.
Generally, most purchasers would have to compromise on lot size or property type to own an address in North Coogee, but if you love a relaxing, marina lifestyle then North Coogee is definitely worth looking into.
Salter Point Property Market
Salter Point is situated eight kilometres directly south of the CBD in the City of South Perth. Access to the city is simple as the Kwinana Freeway runs adjacent on the suburb’s western border. Salter Point is surrounded by the Canning River on the west, south and south east, with properties along Stitfold Promenade, Edgewater Road, River Way and Salter Point Parade enjoying these riverfront views. Curtin University is less than three kilometres away and there are a plethora of schools and other amenities close by, including Aquinas College. Housing in Salter Point is almost all single residential or duplex subdivisions. Older lots from development during the 1960s are generally greater than 750 square metres unless they have been subdivided. More development occurred in the late 1990s, creating lots of around 400 to 500 square metres and more recently developers purchased a portion of bushland next to Aquinas College (adjoining Roebuck Drive and Redmond Street) and have subdivided it into 27 separate lots ranging from 315 to 485 square metres.
Salter Point is known as a fairly affluent suburb, with a median house price of $1.257 million. This figure has grown 9.3 per cent since the beginning of 2018 and 7.9 per cent in the December 2018 quarter. There are 60 properties for sale currently on Realestate.com.au including retirement living, vacant land and established dwellings with only one property being under offer at present.
Pictured above is an example of a property which recently sold close to Salter Point’s median house price. This Hogg Avenue dwelling was built circa 2003 and comprises four bedrooms, two bathrooms and a double garage on a 450 square metre allotment. It sold in October 2018 for $1.225 million after 147 days on the market. The vendors discounted their asking price by $225,000 in order to sell.
This two-storey property at Stitfold Promenade (pictured above) sold in March 2018 for $1.3 million. It comprises four bedrooms, two bathrooms, a double garage and a large alfresco area. The 542 square metre lot also has sweeping north-westerly views over the Canning River and the Kwinana Freeway.
Entry into Salter Point starts from around the $700,000 mark. Vacant lots in the Roebuck Drive subdivision start from $570,000 for 315 square metres.
The cheapest property currently for sale is this back-lot duplex subdivision on Sulman Avenue. Built circa 1981 it has been substantially renovated inside and comprises three bedrooms, one bathroom, a double garage and a pool. The owners are currently taking offers from $749,000.
There aren’t too many options for buying into this location at a low price. The best chance to get into this market would be to find an older property on a small subdivided lot, but these are few and far between.
Subiaco Property Market
Subiaco is an inner-western suburb situated just over three kilometres west of the Perth CBD. It is famous for having an abundance of restaurants, pubs, cafes and bars all surrounding The Regal Theatre, with Patersons Stadium (Subiaco Oval) being the former home of football in Western Australia. Other amenities around Subiaco include Lords Recreational Centre, Subi Square (shopping complex) and the Fremantle Train Line with stations at Daglish, Subiaco and West Leederville.
Subiaco has a very diverse array of property from residential, to commercial offices and retail. On the residential side Subiaco is, again, extremely diverse in nature. Most single residential lots are between400 and 600 square metres and are of a slender rectangular shape, with many of the dwellings having a character or heritage facade. There are around 2,000 houses and townhouses in Subiaco at present, and about 3,000 units and apartments, with more currently in development. Most of the suburb’s recent development is situated in the north-west corner.
There are 107 properties for sale in Subiaco on Realestate.com.au, with 20 per cent of stock currently under contract.
The median house price in Subiaco is currently $1.3075 million, growing 4.6 per cent over the past year but down by 1.5 per cent in the December quarter 2018. Subiaco’s median unit price settled at $500,000, declining 7.2 per cent from the year previous and down 3.9 per cent in the December quarter 2018. The decrease in the median unit price can likely be attributed to the influx of off-the-plan apartment purchases around Perth’s central suburbs.
The property shown above is a two-storey, circa 2006 build on a snug 281 square metre allotment. It comprises three bedrooms, three bathrooms, a double garage to the rear, a pool and a spa. It sold for $1.38 million in November 2018 after 77 days on the market. The vendors ended up selling the property for $70,000 below their original asking price of $1.45 million. This property represents the median house price in Subiaco.
This period property (pictured above) sold in May 2018 for $1.375 million after only five days on the market at $80,000 above the original asking price of $1.295 million. This character dwelling features circa 1925 tuck-pointed brick and Marseilles tile construction with three bedrooms, one bathroom and one car space on a 501 square metre allotment. It is a wonderful example of the demand for old dwellings with period features that people love to renovate or extend.
This property (shown above) on Roydhouse Street is in a low-rise apartment complex. Built circa 2003, it consists of two bedrooms, one bathroom, and has one dedicated car space. It sold in January 2019 (just above Subiaco’s unit median) for $516,500 after 143 days on the market.
Due to the variety of product type and age available in Subiaco, entry into this market is easy if you don’t need much space and are happy with a dated dwelling.
This 1960s unit is the cheapest property available in Subiaco currently. It has one combined living and bedroom space, one bathroom and a small kitchen. The vendors are offering this 41 square metre space for $248,000. This property is as entry-level as it gets in Subiaco.
For townhouses, the cheapest available properties start from about $650,000. This would get you a modest 1980s, two-bedroom, one-bathroom strata dwelling with one or two car spaces on under 200 square metres of land.
The property shown above represents absolute entry level for a semi-detached dwelling. For $835,000 you can purchase a circa 1920, partially renovated dwelling on a 233 square metre allotment with period features, two bedrooms, one bathroom and two car spaces.
The compromises needed to buy into the Subiaco location may be a mix of land size, property type, condition or age. As Subiaco has such a diverse profile, most people should be able to purchase some type of property here if they are flexible in their wants and needs.
If you are economically driven, then being flexible can provide lucrative outcomes. Making compromises on your ideal home or living situation can allow you to purchase larger lots in suburbs with potential for value increases. It is always a good idea to engage a professional when making decisions on property purchases.
Chat with a Smartline Perth Mortgage Broker today.
DISCLAIMER: The information contained in this article is correct at the time of publishing and is subject to change. It is intended to be of a general nature only. It has been prepared without taking into account any person’s objectives, financial situation or needs. Before acting on this information, Smartline recommends that you consider whether it is appropriate for your circumstances. Smartline recommends that you seek independent legal, financial, and taxation advice before acting on any information in this article.