Shellabears Blog

How Much Can a Koala Bear?

March 2026

Apparently… quite a lot.

If the past 12 months have shown us anything, it’s that residents across Perth’s Western Suburbs are incredibly resilient. Volatility is now a part of everyday life, with big swings across the board, from oil prices to equity markets experiencing massive swings daily.

But guess what? The world keeps turning. When we drill down into the data to analyse the consequences of global shifts, the result locally is that everyone just “gets on with it.”

Flying in the face of the RBA’s interest rate strategy, property prices in our premier coastal and riverside pockets have continued to march forward. Scarcity remains at the heart of the issue, with for-sale listings across Perth still sitting approximately 48% below the five-year average.

The Breakdown:

• 12-Month Growth: Perth led the nation with annual dwelling value growth of 22.0%.

• The “Million-Dollar” Milestone: For the first time, Perth’s median house price has officially broken through the $1 million mark.

• The 8-Week Sprint: In February alone, values rose 2.3%, adding roughly $22,000 to the median value in a single month.

• Units vs. Houses: Units are currently outperforming houses in growth, with prices jumping over 20% annually as buyers seek more attainable entry points into premium areas.

• Rentals: Vacancy rates remain critically low at 0.6%, meaning competition for quality homes near the coast and river remains at an all-time high.

What does this tell us? People want to be in the West, and why wouldn’t you?!?! White sandy beaches, riverside walks, and a cold drink at a local favourite. Footy is back, and we’re already racing towards the next long weekend.

In the face of a complex global environment, our local economy is holding firm. Employment is strong, and population growth is leading the country. Despite the broader pressures, the “Western Suburbs lifestyle” continues to be one of the most sought-after investments in Australia. So, how much can a koala bear? Turns out, plenty.

The numbers tell one story, but every street has its own rhythm. If you’re curious about how these shifts affect your specific neck of the woods, or if you just want to grab a coffee and talk through the data, I’m always happy to share what I’m seeing on the ground.

7 Things I’m Watching

Interest Rates & Capital	What’s happening One increase in Rates thus far with more expected Why it matters Buyers getting lower principal amounts with reduced serviceability Market impact ⬇️ Downward pressure on prices
Population	What’s happening Increasing Why it matters More people = more housing demand. Market impact ⬆️ Upward pressure on prices
Employment	What’s happening National employment remains strong, with WA leading the charge. Why it matters Job security underpins buyer confidence. Market impact ⬆️ Upward pressure on prices
Building	What’s happening Still below long term approvals and completion, some increase in apartments in Eastern States Why it matters Increased demand for established property Market impact ⬆️ Upward pressure on prices
Stock	What’s happening Listing supply remains tight. Record low supply continues Why it matters Owners are sitting and waiting for the right property. They want to move, but can’t find the right place Market impact 🔥 Intense competition for quality homes
Investment Properties	What’s happening Rents in Perth continue to outpace national growth and investment lending has increased significantly. Why it matters Rental demand remains strong due to population growth. Market impact ⬆️ Upward pressure on prices, particularly for high-yield properties
Government – Intervening as always!	What’s happening First Home Buyer Guarantee schemes continue, to push the pace of entry level properties Why it matters Substantial demand on sub $850,000 properties Possibly flooding the market with supply of development sites Market impact ⬆️ Powerful upward pressure on prices ⬇️ Possibly downward pressure on development values

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