Perth in late 2026: is the run over?
Perth dwelling values are still up 10.1% over the year, but they peaked in April 2026 and have fallen 6.0% since. The last three months alone took off 4.7%, as fast as Brisbane. The long run has paused. Whether it is over depends on rates, not on Perth.
We wrote about Perth twice in the autumn, when it was outrunning most other cities. Those posts are still up, unchanged: Perth opportunities from March and Perth against Sydney from April.
April turned out to be the month Perth peaked. So this is the follow up, with five more months of data.
Key facts, as at 30 September 2026
- Month: down 1.2%. Quarter: down 4.7%. Year: up 10.1%
- Peak: April 2026. Now 6.0% below it
- Median dwelling value: $975,022. Houses $1,017,734, units $714,265
- Ten year change: up 97.6%
- Home sales: down 24.2% on a year ago
- Gross rental yield: 4.0%. Vacancy rate: 2.1%
Source: Cotality Home Value Index, 1 October 2026
Two true statements
| Change | |
|---|---|
| Past month | -1.2% |
| Past 3 months | -4.7% |
| Since April peak | -6% |
| Year to date | 1.5% |
| Past 12 months | 10.1% |
Source: Cotality Home Value Index, results to 30 September 2026
Anyone selling you Perth will quote the bottom bar. Anyone warning you off will quote the second one. Both come from the same report.
The yearly figure is high because the growth came early. Perth rose strongly through late 2025 and into autumn, then reversed. A buyer who paid the median in April is about $62,000 behind today.
Where it is still up
Cotality lists the Perth areas with the strongest growth over the past twelve months.
| Area and median value | Past 12 months |
|---|---|
| Serpentine and Jarrahdale, $909,667 | up 15.3% |
| Mandurah, $869,718 | up 14.6% |
| Rockingham, $881,719 | up 13.9% |
| Mundaring, $966,643 | up 13.2% |
| Wanneroo, $942,486 | up 12.8% |
They have something in common: they are the outer, more affordable areas. That is where demand goes when borrowing power drops.
A caution. These are twelve month figures, and with the city down 4.7% in a quarter, most of these areas will be off their own highs too. A yearly gain tells you where a place has been.
Regional Western Australia has done better again. It is up 14.1% over the year and edged up 0.1% in September, when the regional markets of every other state fell.
What Perth still has going for it
Rents. House rents are up 8.0% over the year and unit rents 7.5%, among the fastest in the country.
Yield. At 4.0% gross, Perth pays more than Sydney, Brisbane or Adelaide. Units pay 5.2%.
Price. The median is still more than $220,000 below Sydney's.
What has changed
Nearly doubled in ten years. The cheap city argument was true at $500,000. It is weaker at $975,000.
The same rates as everywhere. Four rises this year have cut what a buyer can borrow by about 9% on repayments alone. We show the working in borrowing power in late 2026.
Fewer investors. Sales are down 24.2%, and Cotality reports a sharp fall in investor demand across the country since the Budget. The new tax rules on established homes apply wherever you buy.
Our view
We would stop asking whether the run is over and ask a duller question: does this property pay its way at 6.5%?
With a 4% yield and strong rents, some Perth properties come closer than anything in Sydney. That is a reason to look. It is not a reason to pay April's price.
For every capital side by side, see six months of falling prices.
Frequently asked questions
Are Perth house prices falling?
Yes, since April 2026. Perth dwelling values fell 1.2% in September and 4.7% over the quarter. They are 6.0% below the April peak but still 10.1% higher than a year ago.
What is the median house price in Perth?
At the end of September 2026 the median house value in Perth was $1,017,734 and the median unit value was $714,265, according to Cotality. The median for all dwellings was $975,022.
Which Perth areas are still growing?
Over the past 12 months the strongest areas were Serpentine and Jarrahdale, up 15.3%, Mandurah, up 14.6%, and Rockingham, up 13.9%. Those are yearly figures and include growth from before the April peak.
Is Perth still a good place to invest?
Perth has a 4.0% gross yield and strong rent growth, but values have nearly doubled in ten years and are now falling. We would buy only at a price that works at today's interest rates, not one that needs more growth.
Sources
- Cotality, Australian housing values down for sixth straight month in September, Home Value Index, 1 October 2026
- Reserve Bank of Australia, cash rate target
This is general information, not financial advice.