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WA Property Market Update July 2026

Western Australia’s property market continues to be one of the country’s standout performers, although the factors driving growth are evolving. Strong population growth, ongoing housing shortages and resilient buyer demand continue to underpin values across much of the state. At the same time, higher construction costs, interest rate pressures and proposed Federal Budget changes affecting property investors are influencing purchasing decisions and shaping market sentiment. Whether you’re considering buying your first home, upgrading to a larger property, investing in real estate or reviewing your finance arrangements, understanding the current market can help you make more informed decisions. While no two suburbs or regions are identical, the latest market data highlights several clear trends that are likely to influence Western Australia’s residential property market throughout the remainder of the year. This July 2026 update for the WA property market explores what buyers, sellers and investors should know before making their next move.

WA Residential Property Market Update July 2026

Western Australia’s residential property market continues to demonstrate remarkable resilience despite ongoing economic uncertainty. Strong interstate migration, overseas migration and a persistent undersupply of housing continue to place upward pressure on property values across Perth and many regional centres. While higher interest rates and proposed Federal Budget changes have understandably caused some buyers to pause, demand for quality homes continues to outweigh available supply in many suburbs.

Recent REIWA data reinforces these conditions. During the week ending 26 July 2026, Perth recorded 462 house sales, 151 unit sales and 45 land sales, while fewer than 4,800 houses were available for sale across the metropolitan area. Popular suburbs including Yokine, Scarborough, Subiaco, Byford and Baldivis continue to attract significant buyer interest, reflecting the ongoing appeal of well-connected, lifestyle-focused locations. Median prices have continued their upward trajectory, with Perth’s overall median house price sitting at $938,000 and four-bedroom homes now reaching a median of approximately $1.01 million. This illustrates just how dramatically the market has shifted, with the million-dollar mark increasingly representing the benchmark for a typical family home rather than a luxury purchase.

The rental market also remains exceptionally tight, although rental growth is beginning to moderate after several years of rapid increases. Perth’s median weekly house rent now sits at $750, while units command a median of $700 per week, continuing to deliver attractive yields for many investors. Demand remains strong due to limited rental supply and ongoing population growth, but investors are becoming increasingly strategic, balancing rental returns with borrowing costs, taxation changes and long-term capital growth prospects. Rather than focusing solely on short-term performance, many buyers are seeking locations supported by strong employment, infrastructure investment and sustained population growth.

Prestige property continues to outperform many interstate markets. Herron Todd White reports ongoing confidence across Perth’s premium western suburbs, with numerous transactions exceeding $8 million during recent months. While proposed changes to negative gearing and capital gains tax have created uncertainty nationally, Perth’s combination of economic strength, housing undersupply and comparatively affordable pricing relative to Sydney and Melbourne continues to underpin buyer confidence. For buyers and investors alike, understanding local market conditions and securing appropriate finance remains critical to making informed property decisions.

WA Retail Property Market Update July 2026

Western Australia’s retail property sector is navigating a different set of challenges, with rising construction costs, labour shortages and ongoing economic pressures reshaping how new developments are delivered. Rather than embarking on large-scale greenfield projects, developers and investors are increasingly focusing on refurbishing and repositioning existing retail centres, making better use of established infrastructure while reducing development risk.

One of the clearest examples is the contrasting fortunes of two major Perth shopping centres. While the proposed expansion of Westfield Booragoon remains on hold due to escalating construction costs, the $240 million redevelopment of Galleria Morley continues to progress towards completion in late 2026. By modernising existing facilities, improving dining precincts and enhancing the customer experience rather than significantly expanding footprint, projects like Galleria demonstrate the more cautious and commercially sustainable approach currently favoured across the market.

Consumer expectations are also changing. Today’s successful retail centres are increasingly becoming mixed-use community destinations rather than simply places to shop. Landlords are prioritising tenants that generate consistent daily visitation, including medical centres, childcare facilities, health and wellness providers, supermarkets and hospitality venues. These essential services are generally less vulnerable to fluctuations in discretionary consumer spending and help create long-term stability for retail precincts. Population growth throughout Perth’s outer suburbs is further supporting this trend, with expanding communities requiring convenient access to everyday services close to home.

Another notable trend is the growing focus on sustainability and customer convenience. Refurbished shopping centres increasingly incorporate energy-efficient design, improved public spaces, upgraded fresh food precincts, click-and-collect facilities and enhanced dining experiences. These improvements not only benefit retailers and consumers but also contribute positively to surrounding residential communities by creating more vibrant, accessible local centres. As construction costs remain elevated, opportunities are likely to continue emerging through the revitalisation of existing retail assets rather than entirely new developments, making refurbishment and adaptive reuse key themes to watch throughout the remainder of 2026.

Looking Ahead

Western Australia’s property market continues to present opportunities for buyers, sellers and investors who approach the market with careful planning and sound advice. While affordability challenges have increased and financing conditions remain more complex than in previous years, the state’s strong economic fundamentals, ongoing population growth and constrained housing supply continue to support market confidence.

Whether you’re purchasing your first home, reviewing an investment portfolio, refinancing an existing loan or considering your next property purchase, making decisions based on current market conditions rather than headlines alone can place you in a stronger financial position. Every property decision should form part of your broader financial strategy, ensuring your borrowing, cash flow and long-term objectives remain aligned.

With market conditions continuing to evolve throughout 2026, obtaining professional finance advice can help you understand your borrowing capacity, identify suitable lending options and confidently navigate your next property decision.

Are you thinking about buying, selling, refinancing or investing in property? The Finance team at McKinley Plowman can help you understand your borrowing capacity, compare lending options and structure finance to suit your long-term goals. Contact us on (08) 9301 2200 or visit our website to arrange a confidential discussion with our team.

Data From:

• Herron Todd White Month in Review
• REIWA Perth Market Insights

written by:

Paul Moran

Paul has over 35 years of experience in finding financial solutions for homebuyers, investors and business owners.
A licensed broker and member of the Mortgage & Finance Association of Australia (MFAA), Paul’s extensive experience includes 20 years with a major bank, seven of which were as commercial banking manager.
Paul delivers a holistic financial solutions to achieve the best possible outcome for a client’s personal or commercial lending needs. Paul also provides a comprehensive financial consultancy to business owners on commercial, equipment and invoice finance.