The Turn.

There is a particular quiet that settles over a property market when it changes direction. Nobody announces it. The home opens are still busy, the agents are still on the phone, and most of the headlines are still about price. But underneath, the arithmetic has shifted.

Perth reached that moment in April.

Since then, values have eased month after month. Perth dwelling values fell 1.2 per cent in September and 4.7 per cent across the quarter, according to Cotality’s latest Home Value Index, leaving the market 6.0 per cent below its April peak. And yet Perth is still 10.1 per cent higher than a year ago, the second strongest annual result of any capital city after Darwin.

Both things are true at once. That is the story of this spring.

The rate

The Reserve Bank lifted the cash rate again on 29 September, to 4.60 per cent from 30 September. It is the fourth increase of 2026, a full percentage point above where the year began at 3.60 per cent.

The Board was candid about why. Inflation, it said, “remains elevated”, and it signalled it is prepared to act, “including increasing the cash rate target further if needed”. Its next meeting is on 2 and 3 November.

Every rise flows through to what a buyer can borrow, and buyers have noticed. “Three interest rate rises earlier this year have made buyers very prudent and price sensitive,” Rob Mandanici told REIWA’s June quarter review in September, before he was elected the Institute’s President this month. A fourth has followed since.

The supply

The clearest sign of a turning market is not in prices. It is in the number of homes waiting for a buyer.

In the week ending 11 October, REIWA counted 8,289 properties for sale across Perth. A year earlier there were 2,780. Nearly three times the choice, in twelve months.

Nearly three times the choice, in twelve months.

For two years, buyers competed for scarce stock, often within days of a listing going live. That pressure has eased. Buyers have more to compare, more time to decide, and more room to ask questions before they sign.

The rent

Renters have felt none of that relief. Perth’s vacancy rate was 2.1 per cent in the June quarter, according to REIWA, and the median house rent sits at $750 a week. The rental market remains one of the tightest in the country, and it is a reminder that a cooling price market and an easy rental market are not the same thing.

Where the growth still is

The easing has not landed evenly. REIWA’s June quarter data showed inner Perth house prices down 6.0 per cent in three months, while the outer ring held up far better.

Over the past year, Cotality’s strongest Perth regions all sit on the city’s edges: Serpentine and Jarrahdale up 15.3 per cent, Mandurah up 14.6 per cent, Rockingham up 13.9 per cent, Mundaring up 13.2 per cent and Wanneroo up 12.8 per cent. These are the places where Perth’s more attainable homes are found, and where demand has proved most resilient.

If you are buying

A softer market is not a worse one. It is a more honest one. There is time again to inspect properly, to compare, and to read a contract before committing to it.

The discipline is in the order. Know your finance position first, and know when your pre approval was issued, because a lender will look again at formal approval and this year has changed the numbers. Give yourself realistic dates for finance, inspections and settlement. And understand your conditions before you sign, not after.

If you are selling

Pricing to last autumn’s market is the most expensive mistake a seller can make this spring. Across the capital cities, homes are now taking a median of 39 days to sell, against 23 days a year ago, according to Cotality.

The sellers doing best are pricing to today’s buyer, and preparing for settlement from the day they list: title details in order, any strata information ready, and an early conversation with their lender about discharging the mortgage. A sale that is ready to settle is a sale that is easier to say yes to.

For first home buyers

The State’s first home owner rate of duty, revised from 7 May 2026, still applies. On a home, new or established, there is no duty up to $600,000, and a concessional rate up to $800,000. On vacant land, no duty up to $450,000, with a concession to $550,000. The First Home Owner Grant of up to $10,000 for a new home now applies to homes valued up to $800,000 south of the 26th parallel, which includes all of Perth. Eligibility depends on individual circumstances and is assessed by RevenueWA, so it is worth confirming before you sign.

The month ahead

Cotality publishes its next Home Value Index in early November. The Reserve Bank announces its next decision on 3 November. The ABS releases its September quarter lending figures on 11 November. And on a lighter note, the Perth Festival 2027 program launches on 29 October.

We will be watching all of it, and we will be back next month with what it means.