Dreaming of raising your brood in a vibrant coastal and riverside locale with a rich history? Greater Fremantle and its prestigious, surrounding riverside suburbs might just be the perfect fit. However, be prepared. From South Beach in Fremantle, to the Canning Bridge in Applecross, the market is absolutely sizzling!

Let's dive into the current state of play and understand how this competitive market has managed winter and what will play-out over the next 6 months:

Everything near the water is Hot!

The Greater Fremantle and Perth inner southwest housing markets are experiencing a remarkable growth wave, fuelled by several key factors. The Western Australian economy has remained resilient, powered by steady commodity prices, creating stable jobs and rising incomes for many families now in the market for their dream homes. Over the past year, WA’s population growth rate has even outpaced the East Coast by 40%, as people are drawn to the stability, affordability, and opportunities available in the west. While interest rates are above historical lows, the percentage of take-home pay that WA residents need to spend to afford a home remains significantly lower than in East Coast capitals. With WA’s homes requiring 20-30% less income to support a mortgage, many interstate buyers have found moving to WA a financially sound decision and a chance to improve their lifestyle.

Greater Fremantle and its surrounding suburbs have also been transformed by urban renewal, with a surge of new hospitality and tourism developments reshaping the area. Major redevelopment projects are creating vibrant neighbourhoods equipped with modern amenities and enhanced infrastructure, further increasing the area’s appeal. Fremantle agent Chanel Majeks of Ray White Dethridge Groves has observed the city’s recent transformation, stating,

In addition to the economic and infrastructural factors, Greater Fremantle’s lifestyle appeal is a major draw for families. With its picturesque beaches, direct access to the Swan River, and thriving cultural scene, the area offers families the ultimate lifestyle package. Adding proximity to Perth’s city centre only makes it more desirable, as families flock to the region in pursuit of a balanced lifestyle that includes both a beautiful environment and ample conveniences.

This demand is mirrored in rising home prices. Median prices for 3 and 4-bedroom family homes have surged by 12% over the past year, according to CoreLogic. With limited supply, demand shows no sign of slowing. Properties coming back to the market after only a few years are now reselling for 40-50% more than their previous prices. Aaron Katin from Katin Property notes that,

"Family homes that are under 15 years old or recently renovated, with little to no need for modifications or maintenance, are in the highest demand and experiencing the most growth. There simply aren’t many of these properties available at any one time, but when they do hit the market, buyers are competing fiercely to secure them.

A recent example of how quickly values are growing is a property we sold in East Fremantle for $3,105,000 in August. The clients had purchased it just 18 months earlier for $2,475,000. The home ticked all the boxes for the buyer, and since they’d been searching for quite some time, they acted fast.”

Available properties in the area have also dropped by 15% compared to last year, and listings are nearly 50% below the five-year average. This scarcity has driven prices up further, as properties are selling 20% faster than last year and most are receiving multiple offers within days of listing. CoreLogic reports that properties in Greater Fremantle and the surrounding areas are now often “under offer” within days of hitting the market.

"Right now, the average time it takes to sell a property in Perth is just 9 days, compared to 43 days back in 2020 when there were double the listings. There's a clear connection between how quickly homes are selling and the reduced number of properties available.

It’s a tough environment for buyers, but the ones who succeed are typically those who are financially prepared, make it clear to us that they're serious, and seek guidance on how to move forward quickly. They don’t hesitate when making an offer.”

The lifestyle appeal of Fremantle and the demand for family homes is further intensified by interstate migration. At a rate of around 300 people per week, interstate migration to Perth continues to rise, as people seek out the balance of affordability, space, and coastal living that WA offers. This influx has created even greater demand, increasing the competition for homes.

So how do you find your dream home?

For families looking to secure a home in such a competitive market, there are several important strategies to consider. First, defining your needs early can make a significant difference. By establishing key requirements such as property size, location, school proximity, and budget, buyers can focus their efforts on properties that meet their criteria, helping to streamline the decision-making process. However, patience is crucial in a market this competitive. The ideal property may take time to surface, and buyers will need to be persistent and proactive throughout their search. Expanding the search to nearby areas that offer similar appeal and potential growth can also increase the chances of finding a great property without sacrificing the lifestyle they’re seeking.

Winning tips in a competitive property market

When the right property does come along, acting quickly is essential. Buyers who hesitate may miss out, as properties are being snapped up at record speed. In a fast-moving market, buyers should also be prepared to meet or even exceed market prices for homes that offer long-term value. Given the potential for ongoing returns, offering above the asking price can be a sound strategy if buyers are confident in the property’s future worth.

Building relationships with agents who specialise in Greater Fremantle and its surroundings can be a huge advantage. In such a competitive market, these connections can give buyers early access to pre-market listings or discreet sales opportunities. Buyers who establish strong relationships with local agents are better positioned to act confidently when the right property presents itself.

The bottom line

Greater Fremantle’s family home market is highly competitive, but with clear goals, the right connections, and professional support, families can secure their dream home in this thriving coastal area. Understanding the local market dynamics, setting a clear strategy, and working with a specialist buyer’s agent who knows Greater Fremantle’s nuances can make a world of difference. With commitment and a bit of persistence, buyers will soon be on their way to enjoying the enviable lifestyle that Greater Fremantle offers.

Zac Russell

Greater Fremantle Area Specialist

Contact Zac below:
Email: zac@vervebuyersagency.com
Phone: 0481 268 604

About Zac