House listings down 60 per cent in Busselton

A shortage of properties for sale throughout regional WA is creating competition among buyers and putting upwards pressure on house prices, according to REIWA. Image by Shutterstock.
A shortage of properties for sale throughout regional WA is creating competition among buyers and putting upwards pressure on house prices, according to REIWA. Image by Shutterstock.

Busselton had the biggest decline in house listings in regional WA, down 36 per cent to the December 2020 quarter and 60 per cent compared to the March 2021 quarter, according to the latest data from REIWA.

President Damian Collins said listings for sales declined in six regional centres during the March 2021 quarter, while eight regional centres recorded annual declines in listings.

"The state's housing shortage is widespread and is certainly being felt prominently throughout regional WA. Busselton recorded the biggest decline," he said.

"Across all of regional WA and even Perth we are finding there isn't a lot of stock coming onto the market.

"Obviously we had a long downturn, in Perth, it's been five years and in regional WA it's been a decade.

"People have hung on this long and they want to make a little bit of money, they can sense the market is improving so they will hold on and wait until prices move.

"Hence we have a shortage of stock."

Mr Collins said Bunbury and Albany also recorded notable declines, with listings for sale down 26 per cent and 25 per cent respectively for the quarter, and 42 per cent and 49 per cent respectively over the year.

"Just like we are seeing in Perth, the shortage of properties for sale throughout regional WA is creating competition among buyers and putting upwards pressure on house prices," he said.

"Until the gap between supply of properties and buyer demand starts to close, house prices will likely continue to rise."

Mr Collins said the market was more affordable now and if people had an investment property or a holiday home that was chewing a hole in their pocket interest rates were only 2 per cent.

"That would only cost $200 a week with a $500,000 mortgage," he said.

"All of these things mean there is no urgency to sell, people do not feel pressure to sell and the confidence is coming back so prices might improve."