Perth Property 2016

There hasn't been a lot to write home about when it comes to the Perth property market sluggish sales and sliding prices - the question every buyer and seller wants to know is will we turn the corner in 2016 - we asked REIWA head Hayden Groves and Property analyst Gavin Hegney for their predictions for 2016.

So how did the market finish up in 2015 - well there's no escaping the fact that on averages at least your house is worth less today than it was a year ago.

A year ago the median house price hit a record $551,000 it's been in steady decline ever since.

But Hayden Groves says before you get too depressed, median house prices are directly affected by market share and the falls can be largely attributed to a bigger share of first home buyers entering the market buying cheaper homes - it brings the median down.

It wasn't a bad year across the board, the top end was slow but there were areas that also performed well. "We saw some really good activity in particularly in the cheaper areas as you'd expect we did see interestingly some great activity in St James for example which came as a bit of surprise, Bedford some pretty good results throughout those areas as well."

So what are the areas to watch in 2016, it's a case of old areas reborn and new areas developed but as always its location location location.

Gavin Hegney says Elizabeth Quay will revitalise interest in the city and Development at Coogee will grow demand in that area over the next decade. He also favours established suburbs that are undergoing transformations. Midland continue to go from strength to strength we've seen a lot of money spent out through there, Hospital all the infrastructure that's gone in place it's very affordable as a real estate destination. Also Scarborough is going from strength to strength with the redevelopment on the beach front and what's going on there we're going to have Olympic sized pools put in new restaurants cafe's and a lifestyle created. Don't underestimate the lifestyle precincts in Perth whether it be Oxford Street Mount Hawthorn or whether it be a Canning Highway merging precinct or Albany Highway Vic Park."

If you're renting the news for 2016 is good, you could even expect a further rent reduction certainly greater choice. For those with a mortgage, interest rates aren't expected to move much if at all.

Low Interest rates, high numbers of houses on the market and contracting prices in 2015. It all points very simply to a buyers' market and all indications are 2016 is shaping up as a turning point and probably a good time to think about taking the plunge.