Discover why Perth’s affordable housing market and rising popularity in 2025 attract new residents and investors alike.
Introduction
Perth is emerging as one of Australia’s most attractive cities in 2025, driven by affordable housing and strong population growth. As the city evolves economically and culturally, more people are choosing Perth for its lifestyle, job opportunities, and balanced cost of living.
Perth’s Housing Market: Affordability Amidst Growth
Perth’s property market has shown remarkable resilience and growth since the pandemic, with house prices rising steadily into 2025. The median house price in Perth reached around AUD 849,000 in mid-2025, representing an 8.1% annual increase, while units have outpaced houses with a 13.1% yearly growth to approximately AUD 607,000. Despite these gains, Perth remains more affordable than many other Australian capitals like Sydney and Melbourne, making it a prime choice for first-home buyers and investors.
This affordability, combined with a comparatively lower mortgage rate environment and steady demand, keeps Perth competitive. New housing estates and green suburbs are expanding across the metropolitan area, fueling urban development and a growing rental market. The demand persists amid low days on market—approximately 16 days for available properties, the fastest in the country.
Growing Popularity: Population, Lifestyle, and Infrastructure
Perth’s rising popularity aligns with its population growth and urban renewal efforts. The city attracts interstate migrants drawn to its coastal living, job prospects, and quality education and healthcare facilities. Expansion projects like waterfront developments, transport upgrades, and smart city initiatives are enhancing livability and connectivity.
The lifestyle advantage Perth offers—a balance of outdoor recreation, beaches, café culture, and emerging tech sectors—boosts its appeal. Its burgeoning cultural scene and expanding startup ecosystem further contribute to its reputation as a vibrant, liveable city. These factors make Perth an attractive destination for families, students, retirees, and professionals seeking work-life balance.
Outlook for 2025 and Beyond: Investment and Living
Economic growth and infrastructure investments underpin Perth’s housing boom and popularity. Leading forecasts predict continued but moderate property price growth of around 4% to 7% in 2025, signaling a maturing market rather than a bubble. This sustainable trajectory is supported by stable employment rates and increasing housing supply through new developments.
For migrants and investors, Perth offers promising opportunities in property investment and lifestyle. Affordable housing options, combined with high-quality community amenities and a growing economy, position Perth as a future-focused city with excellent long-term living prospects.
Conclusion
In 2025, Perth stands out as an affordable, popular city undergoing dynamic growth. With steady property price rises, expanding suburbs, and strong infrastructure, it attracts diverse residents seeking a balanced lifestyle and solid investment potential. Perth’s evolving appeal cements its status as a top Australian city to watch and move to in the coming years.