Building a New Home in 2022: How Much Does It Cost?
Homebuilders in Australia continue to struggle with the rising prices of materials…
7 June 2022
The Reserve Bank of Australia announced on Tuesday 3 May that the interest rates would be increased from 0.1% to 0.35%. REIWA’s forecast for property growth is a 10% price rise in Perth during the 2022 calendar year, however the interest rate rise is expected to have less of an effect on WA.
Western Australia simply has less properties for sale on the market, when compared to the Australian property market as a whole. This means more competition and more demand, equating to less apprehension when buying amongst would-be homeowners and investors.
While interest rates will inevitably have some effect on buyers, the competition is too strong to put them off investments in the state. WA also has the most affordable real estate in the whole country, so the rise will have less of a strain on local pockets.
Despite the increase of 13-16% on property in the state, WA is still the most affordable market and will therefore keep buyers in a good financial position.