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Perth house prices are up, so where are the cheapest?

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With Perth house prices again on the rise, an analysis has revealed the suburbs where buyers watching their pennies can get a bargain.

But the list, compiled by real estate analyst RP Data, shows Perth has far fewer affordable homes compared to other capital cities, with the cheapest suburb coming in at 389 nationally.

Meanwhile, a separate report released today shows Perth house prices have increased 1.3 per cent in the past year.

According to Australian Property Monitors, units also have risen 0.1 per cent.

However, sale prices declined during the September quarter (0.5 per cent for houses for 2.7 per cent for units), which is not unusual for the quieter winter months.

APM expects Perth prices to continue to rise.


Armadale and Kwinana, in the outer south areas of Perth, are the cheapest areas, according to the RP Data list.

Houses can be bought for less than $300,000 in Brookdale (median house value $264,527), Orelia ($267,647), Armadale ($270,025) and Parmelia ($273,114).

Rockingham’s Hillman (median house value $273,489) is the only other Perth suburb included in the list of WA’s 25 cheapest suburbs, with the rest in regional towns.

WA’s cheapest suburb is Moora, 190 kilometres north-east of Perth, where houses can be bought for less than $200,000.

RP Data research director Tim Lawless said across the country the most affordable city-based suburbs were typically located far from the CBD, had a lower socio-economic profile, higher than average crime rate and lower standard of housing.  

Terry Jennings, from Professionals Real Estate in Armadale, said house values in the area had declined after improving earlier this century.

“There was a stage when Armadale was very popular and overtook [prices in] Gosnells but that’s now retracted and Gosnells are higher now,” Mr Jennings said.

The area was awash with three-bedroom, one-bathroom houses that typically sold for $240,000 to $300,000.

Although the lower end of the market included “fairly rough and ready” properties, Mr Jennings said.

First-home buyers and investors were common buyers.

“First-home buyers because prices are cheaper, [while] investors who tend to target the lower end of the market because there’s better yield,” Mr Jennings said.

The national list is dominated by regional suburbs in Tasmania, South Australia and New South Wales.