pilbara half yearly housing & land snapshot · 2017. 9. 5. · quarterly prices have been...

JUNE 2017

SNAPSHOT HOUSING & LAND PILBARA HALF YEARLY

RESIDENTIAL

Publication: Pilbara Residential Housing & Land Snapshot

Reporting period: 1 January ‐ 30 June 2017

Published: 29 August 2017

Please note that proper es which include commercial, warehouse or industrial facili es onsite have been removed from this report. For any informa on on commercial proper es go to the Pilbara Commercial Property and Land Snapshot report on the Pilbara Development Commission website.

The informa on and data contained in this document were predominantly gathered from REIWA and other real estate sources. No person should act on the basis of any ma er contained in this document without considering and, if necessary, taking appropriate professional advice. Neither the Commission, nor any of its employees undertake responsibility to any person or organisa on in respect to this document.

REIWA’s Economic Wrap Up 2

Focus on the Pilbara 6

Housing market 6

Land market 6

Lis ng stock 7

Average selling days 8

Discoun ng measures 8

Spotlight on City of Karratha 10

Housing market 11

Land Market 13


Rental market 17

Spotlight on Shire of East Pilbara 20

Housing market 21


Rental market 23

Spotlight on Shire of Ashburton 26

Housing market 27


Rental market 29

Spotlight on Town of Port Hedland 31

Housing market 32


Land market 34

Rental market 35

Pilbara Real Estate Agents 38

CONTENTS

REIWA’s WA Economic Wrap Up There has been a resurgence in commodity prices;

unemployment is trending down; and the residen al property market in Western Australia is seeing higher levels of ac vity.

The economy of WA is strongly related to the commodi es sector, due to its plen ful reserves of natural resources. Since the peaks of the “mining boom”, the local economy has struggled to diversify and has been at constant ba le with rising levels of unemployment and subdued property market condi ons.

However, in recent mes there has been a resurgence in commodity prices which has provided some short‐term relief for our mining state. Recently, unemployment has begun to trend downwards, the rate of economic contrac on has slowed (as measured by state final demand), and the residen al property market is seeing higher levels of ac vity in both the established and rental fronts.

As Western Australia moves away from its dependence on the resources sector, opportuni es exist for growth in other industries to be unlocked. Recent economic indicators reveal that industries such as agriculture, healthcare and retail have strengthened of late. Employment levels are expected to remain steady in 2017 with current treasury es mates boas ng an op mis c outlook for both employment and popula on trends going forward.

Ul mately, any strength in the macroeconomic environment would have a posi ve impact on the local real estate market supported by confidence in the economy and any poten al popula on growth will increase the demand for housing.

2

Since the release of the 2016 Census results, popula on es mates by the ABS have been revised

somewhat. As at December 2016, there were 2,567,788 people living in Western Australia. This

represented 10.5 per cent of all Australia’s popula on. The latest popula on figures by the ABS

reiterate the con nued headwinds faced within the WA economy and residen al market. In the

year to December 2016, WA a racted 2,097 migrants. This was significantly lower than the 67,094

increase seen during the year to December 2012. Current popula on growth levels remain so ,

with overall growth recorded at 0.7 per cent (year to December 2016). The State Budget Papers

reveal slightly be er predic ons for overall popula on growth in the forward years up to 2019‐20.

STATE FINAL DEMAND

3

Western Australia’s State Final Demand totalled $48.6 billion during the March 2017 quarter, which is 6.6 per cent lower than levels seen one year ago. The weaker figures imply so demand for goods and services for consump on or capital reten on, and reflect the local economic climate.

POPULATION

6.6% COMPARED TO 12 MONTHS AGO

UNEMPLOYMENT RATE

0.7% YEAR TO

DECEMBER 2016

5.6% AS AT JUNE 2017

The unemployment rate has experienced improvements over the last quarter and now stands at

5.6 per cent (June 2017). Total employed persons in the State have grown to count 1.37 million

workers. Approximately 69 per cent of these are in full‐ me employment, whilst 31 per cent are in

part‐ me employment. The rising popularity of part‐ me roles reflect the changing needs of

businesses and preferences of workers. The improvement in the forward looking unemployment

forecasts, set by the Treasury, are largely driven by an op mis c outlook on future expected

popula on growth, together with be er job growth opportuni es, especially in industries such as

Agribusiness, Tourism and Healthcare.

INTEREST RATES

4

The official cash rate remains at a record low of 1.50 per cent since August 2016. Current Australian Futures Markets projec ons are for interest rates to remain at or near current levels for the next twelve months. The extended period of low rates will con nue to provide comfort to the local residen al market, in the form of lower lending rates, which should spur investment in housing. However, recent regulatory measures introduced by the Australian Pruden al Regula on Authority (APRA) may have serious nega ve implica ons on future lending, especially to investors.

DWELLING COMMENCEMENTS

Rolling annual dwelling commencements have contracted by 21 per cent in comparison to the

same me last year. This is good news for the established market and the slowing rate of new

stock being built will allow for exis ng stock to be absorbed. The Housing Industry Forecast Group

forecasts that commencements for 2016‐17 will se le at 19,000 a er which increments of 2,000

have been projected in the forward es mates up to 2018‐19.

1.5% OFFICIAL CASH

RATE

21% DECREASE

COMPARED TO 12 MONTHS AGO

AVERAGE MONTHLY MORTGAGE COSTS

AVERAGE HOUSING FINANCE

$340,000

Average owner‐occupier loan size at finance

$1,328

Compared to $1,327 at the same me last year

AVERAGE WEEKLY EARNINGS

$1,879

Es mated new owner‐occupier mortgage repayments

REIWA’S WA ECONOMIC OUTLOOK 2017

5

HOW IS REIWA’S OUTLOOK TRACKING?

Popula on growth is expected to remain steady, close to 1.0 per cent driven primarily by natural increases and supported by net overseas migra on.

The interest rate environment is likely to remain accommoda ve for the foreseeable future.

The rental market will con nue to be challenging in line with slowing migra on trends.

Similarly, transac onal ac vity will remain flat with consumer sen ment steady in WA.

Dwelling commencements are also expected to slow.

Overall the local property market is in line with expecta ons outlined in REIWA’s outlook above.

Popula on trends steady

Accommoda ve interest rates environment

Rental market to remain challenging

Sales trac on to remain flat

Consumer sen ment steady

Dwelling commencements to slow

Focus on the Pilbara As expected, the June 2017 quarter brought a period of subdued sales ac vity across the Pilbara, as sales momentum con nues to normalise.

11% DECREASE IN

MEDIAN HOUSE PRICE

MEDIAN HOUSE PRICE

DWELLING SALES

The housing market makes up the greatest por on of dwelling ac vity in the Pilbara region. The

median house price for the June quarter 2017 was $231,500, a dip of 11 per cent over the quarter.

6

18% DECREASE IN

DWELLING SALES

June quarter 2017 saw dwelling sales dip by 18 per cent to record 150 transac ons (houses and

units) across the Pilbara region. House sales were 95 per cent of ac vity levels. This is the second

quarter of decline in sales ac vity, post the market li s seen in 2016. The quarterly median

dwelling price recorded $220,000 for June 2017, which is 9.3 per cent lower than the March

quarter 2017. Quarterly prices have been performing rela vely well over the last three quarters

compared to 2016, where significant drops were experienced.

The es mated current residen al popula on of the Pilbara is 61,435. The popula on trend in the region is one of decline with 0.6 per cent fewer people than the Census in 2011.

Preliminary house sales for the Pilbara region are nine per centre lower than the 156 recorded in the March quarter 2017. However, REIWA expects house sales to li to approximately 151, once most se lements are finalised. In comparison to the ten year average, sales ac vity is on par with historical figures.

Prices in the Pilbara have decreased over the quarter. The preliminary June quarter median house price is $231,500. This is 11 per cent lower than the March quarter and remains 24 per cent lower than the same me last year.

The rental market in the Pilbara has shown steady trends. Median house rents have remained unchanged during the June quarter whilst rental stock levels have grown a marginal one per cent.

3 LAND SALES IN JUNE QUARTER

VACANT LAND SALES

There were only three vacant land sales in the June 2017 quarter, at a median price of $59,500.

The four year me series chart shows land sales at their peak, during the resources construc on

phase, with an average of 49 sales per quarter. (Breaks in chart reflect no sales ac vity).

7

Lis ngs for sale dropped by 9 per cent in the June 2017 quarter, from 347 down to 316, across

houses, units and land. Over the last four years, average quarterly levels of stock for sale have

hovered around 491. Current stock levels are much lower than they have been in recent years.

Again, the majority of lis ngs are for houses, which make up 75 per cent, units 20 per cent and

land 5 per cent of total stock in the market.

9% DECREASE IN LISTINGS

LISTINGS FOR SALE

AVERAGE SELLING DAYS

Average selling days in the Pilbara region for the June quarter saw an improvement of 20 days,

recording 71 days to sell a house. Units take a markedly longer me to sell, currently recording 114

days on the market for the June quarter.

LISTINGS FOR RENT

Lis ngs for rent have dropped by 19 per cent to record 455 dwellings for rent in the June 2017

quarter. In the rental market, houses make up 67 per cent and units are 33 per cent of total stock.

Interes ng to note, there are more units in the rental market for rent, than there are for sale.

8

DISCOUNTING MEASURES

The propor on of sellers discoun ng in the Pilbara residen al market was 60 per cent (across

houses and units) for the June quarter. In the year to June 2017, the annual average number of

sellers discoun ng was 63 per cent. Those sellers who were discoun ng in the market were, on

average, offering a discount of 9.4 per cent in June 2017. This is an improvement of almost 10 per

cent compared to the March quarter.

71 DAYS TO SELL A HOUSE ON AVERAGE

60% SELLERS

DISCOUNTING

19% DECREASE IN

RENTAL LISTINGS

Overview June quarter 2017 saw dwelling sales in the City of Karratha dip by 19 per cent, to record 66 transac ons (houses and units) in the whole Local Government Authority (LGA). Houses make up 97 per cent of the dwelling market in the City of Karratha for the June quarter.

Median dwelling price in the LGA recorded $299,500 for June quarter 2017, a quarterly li of seven per cent.

In Baynton, sales ac vity slipped 19 per cent to record 13 sales in the June quarter. Bulgarra recorded 9 sales, a drop of 40 per cent compared to the March quarter.

Dampier sold 5 dwellings in the June quarter, with Millars Well recording 11 sales, compared to 17 in the March quarter.

Point Samson, Roebourne and Wickham towns have recorded two or less sales each quarter since 2013, therefore these towns have not been included in this analysis.

Spotlight on the City of Karratha

Dampier | Karratha | Roebourne | Wickham | Point Samson

10

11

19%

DWELLING SALES

There was an increase in median house prices in the Karratha area due to an increase in sales occurring in the $360,000 to $725,000 range, which pushed the median price up. The median house price in Karratha urban area li ed 7.1 per cent to $300,000.

7%

MEDIAN DWELLING

PRICE

There was a total of 66 dwelling sales across the City of Karratha in the June quarter, down from 81 in the previous quarter. 102 dwelling sales were recorded in the December 2016 quarter, which is the highest recorded number between January 2013 and June 2017.

INCREASE IN MEDIAN PRICE

DECREASE IN DWELLING SALES

DWELLING SALES

12

19% SALES DECREASE IN BAYNTON

Repor ng period Dwelling sales Median price % change Dwelling sales

Q3 2016 18 $415,000 20%

Q4 2016 16 $375,000 ‐11%

Q1 2017 16 $388,750 0%

Q2 2017 13 $420,000 ‐19%

40% SALES DECREASE IN BULGARRA


Q3 2016 11 $230,000 ‐35%

Q4 2016 23 $255,000 109%

Q1 2017 15 $205,000 ‐35%

Q2 2017 9 $242,000 ‐40%

29% SALES DECREASE IN DAMPIER


Q3 2016 6 $480,000 ‐14%

Q4 2016 7 $484,888 17%

Q1 2017 7 $475,000 0%

Q2 2017 5 $417,000 ‐29%

13

35% SALES DECREASE IN MILLARS WELL


Q3 2016 7 $220,000 0%

Q4 2016 18 $256,000 157%

Q1 2017 17 $240,000 ‐6%

Q2 2017 11 $210,000 ‐35%

62% SALES INCREASE

IN NICKOL


Q3 2016 18 $270,000 80%

Q4 2016 17 $200,000 ‐6%

Q1 2017 13 $335,000 ‐24%

Q2 2017 21 $400,000 62%

1 VACANT

LAND SALE

VACANT LAND SALES

Land sale ac vity across the City of Karratha has been slow, with zero sales reported from June 2015 to March 2016. The September and December 2016 quarters saw an improvement, with three and four sales respec vely, dropping back to one sale per quarter for the March and June quarters in 2017. (Breaks in chart reflect no sales ac vity).

LISTINGS FOR SALE

3% DECREASE IN

TOTAL LISTINGS

14

18 LISTINGS IN BAYNTON

Lis ngs for sale declined by three per cent in the June 2017 quarter, from 89 to 86 lis ngs across houses, units and land within the City of

Karratha. Over the last four years, average quarterly levels of stock have hovered around 152. Current stock levels are much lower than

they have been in recent years. The majority of lis ngs are for houses, which make up 77 per cent, with units 19 per cent and land 4 per

cent of the total stock in the market. Across the market, Bulgarra recorded 16 lis ngs, Dampier two lis ngs, Millars Well 14, Nickol 14 and

Pegs Creek recorded 15 lis ngs across houses, units and land.

Repor ng period House Unit Land

Q3 2016 30 2 4

Q4 2016 17 2 2

Q1 2017 14 1 2

Q2 2017 15 1 2

Total

36

21

17

18


Q3 2016 30 5 1

Q4 2016 20 4 ‐

Q1 2017 16 3 ‐

Q2 2017 14 2 ‐

Total

36

24

19

16

16 LISTINGS IN BULGARRA

15


Q3 2016 17 10 ‐

Q4 2016 10 7 ‐

Q1 2017 9 5 ‐

Q2 2017 7 7 ‐

Total

27

17

14

14


Q3 2016 3 ‐ ‐

Q4 2016 4 1 ‐

Q1 2017 5 ‐ ‐

Q2 2017 2 ‐

Total

3

5

5

2


Q3 2016 2 1 1

Q4 2016 1 ‐ ‐

Q1 2017 3 ‐ ‐

Q2 2017 2 1 ‐

Total

4

1

3

3

2 LISTINGS IN DAMPIER

14 LISTINGS IN

MILLARS WELL

3 LISTINGS IN

KARRATHA CBD

16

62 AVERAGE SELLING

DAYS


Q3 2016 19 2 ‐

Q4 2016 9 3 1

Q1 2017 8 2 ‐

Q2 2017 10 5 ‐

Total

21

13

10

15


Q3 2016 25 ‐ 2

Q4 2016 17 ‐ 1

Q1 2017 14 1 ‐

Q2 2017 14 ‐ ‐

Total

27

18

15

14

LISTINGS FOR SALE


Average selling days for dwellings in the City of Karratha dropped by 29 days over the June

quarter, from 91 to 62 days.

14 LISTINGS IN NICKOL

15 LISTINGS IN PEGS CREEK

17

153 LISTINGS FOR

RENT

8.7% AVERAGE DISCOUNT

AVERAGE DISCOUNT

In the City of Karratha, the size of discount offered during the June quarter has fallen to

8.7 per cent from 11 per cent. Across the major suburbs in the region, Baynton has a

discount of five per cent, Bulgarra 13 per cent, Dampier three per cent, Millars Well 15

per cent and Nickol nine per cent.

LISTINGS FOR RENT

The rental market in the City of Karratha has seen some improvement, mostly in the

sense that stock of lis ngs is declining. Specifically, there were 158 lis ngs for rent in the

June quarter, down from 183. This is the lowest level of rental stock in the market since

March 2013.

18

$390 OVERALL MEDIAN

RENT

MEDIAN RENT

In the June quarter, the City of Karratha recorded a house median rent of $400, unit

median rent of $300 and overall median rent of $390. Compared to the same me last

year, rent prices have fallen $60 houses, $25 units and $40 overall in the LGA. Major

suburbs in the region recorded the following rents for the June quarter:

Suburb House Unit Overall

Baynton $500 $425 $500

Bulgarra $310 $280 $300

Dampier $550 $290 $525

Karratha $600 $433 $585

Millars Well $365 $280 $350

Nickol $500 $350 $463

19

48 AVERAGE

LEASING DAYS

AVERAGE LEASING DAYS

The June 2017 quarter recorded 48 days to lease in the City of Karratha, up one day since

the March quarter 2017. Leasing days have fallen compared to June quarter 2016, from

a high of 56 days.

DWELLINGS LEASED

Leasing ac vity in the City of Karratha dropped over the quarter to record 241 leases

versus 251 in the March quarter.

241 DWELLINGS LEASED

Overview The Shire of East Pilbara is the largest Shire in Australia, covering approximately 372,571 square kilometres; larger than the state of Victoria. It is es mated that driving will take two days to cross from east to west and six hours from north to south.

Main town sites are Newman, Marble Bar and Nullagine, with the Shire of East Pilbara's administra ve centre located in Newman.

There were insufficient vacant land transac ons in the June quarter to warrant a comparison.

20

Spotlight on Shire of East Pilbara

Newman | Marble Bar | Nullagine

21

29%

NEWMAN MEDIAN

DWELLING PRICE

June quarter 2017 saw dwelling sales dip by 22 per cent to record 14 transac ons (houses and units) in the whole East Pilbara LGA. The overall house median price in the East Pilbara LGA was $128,000 which is 32 per cent below the previous quarter.

32%

MEDIAN DWELLING

PRICE

The median dwelling price in Newman was $128,000 at the June 2017 quarter, down from a peak of $875,000 in June 2013. There were 14 house sales recorded in the June quarter, and no unit sales. There was an overall decrease of 29% in median price.

House sales Unit sales Dwelling sales

House median

Unit median

Dwelling median price

% change Dwelling sales

Q1 2013 14 14 28 $834,000 $575,000 $575,000

Q2 2013 12 2 14 $897,500 $530,250 $875,000 ‐100%

Q3 2013 12 1 13 $720,000 $515,000 $690,000 ‐8%

Q4 2013 8 1 9 $774,000 $425,000 $738,000 ‐44%

Q1 2014 7 1 8 $660,000 $425,000 $629,000 ‐13%

Q2 2014 11 1 12 $790,000 $335,000 $780,000 33%

Q3 2014 11 2 13 $595,000 $440,500 $550,000 8%

Q4 2014 4 ‐ 4 $537,500 ‐ $537,500 ‐225%

Q1 2015 1 ‐ 1 $680,000 ‐ $680,000 ‐300%

Q2 2015 1 ‐ 1 $265,000 ‐ $265,000 0%

Q3 2015 3 2 5 $215,000 $137,500 $215,000 80%

Q4 2015 4 ‐ 4 $235,000 ‐ $235,000 ‐25%

Q1 2016 5 1 6 $145,000 $110,000 $142,500 33%

Q2 2016 8 1 9 $182,000 $90,000 $174,000 33%

Q3 2016 17 1 18 $160,000 $100,000 $155,000 50%

Q4 2016 18 1 19 $150,000 $80,000 $150,000 5%

Q1 2017 17 1 18 $189,000 $70,000 $182,000 ‐6%

Q2 2017 14 ‐ 14 $128,000 ‐ $128,000 ‐29%

21

DECREASE IN MEDIAN PRICE


LISTINGS FOR SALE

2% INCREASE IN LISTINGS

22

104 AVERAGE SELLING

DAYS

Lis ngs for sale in the Shire of East Pilbara increased by 2 per cent in the June 2017 quarter, from

43 to 44 lis ngs across houses, units and land. Over the last four years, average quarterly levels

of stock has hovered around 64. Current stock levels are much lower than they have been in

recent years. The majority of lis ngs are for houses, which make up 73 per cent, with units 20

per cent and land 7 per cent of the total stock in the market. Newman carries 98 per cent of

vacant stock in the East Pilbara LGA.

13% AVERAGE DISCOUNT


Average selling days for all dwellings in the Shire of East Pilbara increased over the quarter from

86 days in March to 104 days in June. Over the same period of me last year, it took 82 days to

sell a property in the Shire of East Pilbara.

In Newman, the average discount offered by sellers is 13.6 per cent. This discount is higher than

the same me last year, when the discount was around 7.2 per cent. AVERAGE DISCOUNT

LISTINGS FOR RENT

42 DWELLINGS

LISTED FOR RENT

23

$300 MEDIAN

RENT PER WEEK

The rental market in Newman has seen a significant drop in available stock over the quarter.

Dwellings available for rent dropped from 64 to 42 in the June quarter 2017.

This is the lowest level of available rental stock in the Newman market since March quarter

2013.

73 AVERAGE

LEASING DAYS

MEDIAN RENT

Median rents in Newman are far from the peaks of 2013. For the June quarter, the median

house rent was $350 per week, unit rent was $250 and overall rent was $300. Compared to the

same me last year, rents have dropped by $50 for houses. Median rents in Newman have been

si ng in the $300 price range since early 2016.

The June 2017 quarter recorded an average 73 days to lease a house in Newman. Compared to

the same me last year, days to lease has li ed by 2 days. Leasing ac vity has li ed in the most

recent quarter, recording 40 dwellings leased in June. This is a li of 8 dwellings over the

previous quarter.


Overview

At nearly half the size of Victoria (105,647 square km), the Shire of Ashburton boasts some of the world's largest open cut mines, largest pastoral leases and ca le sta ons, and a thriving fishing industry.

The Shire's 10,000 residents are employed in a variety of industries including oil, gas, mining, ca le, fishing and tourism. The suppor ng infrastructure also provides employment and career opportuni es.

The Shire includes four established town sites: Tom Price, Paraburdoo, Onslow and Pannawonica. Paraburdoo and Pannawonica have insufficient real estate movement to appear in this analysis.

26

Spotlight on Shire of Ashburton

Tom Price | Onslow | Paraburdoo | Pannawonica

27

1

ONSLOW DWELLING SALES

June quarter 2017 saw dwelling sales dip by 17 per cent, to record 5 transac ons (houses and units) across the Shire of Ashburton. The overall dwelling median price in the Shire was $225,000, which is 37 per cent below the previous quarter. The average number of sales in this region over the last 12 months is six sales, so ac vity has been reasonably stable over the period. (Break in the Chart reflects no sales).

17%

MEDIAN DWELLING

PRICE

In Onslow there was one dwelling sale in the June quarter, compared to three in the previous quarter. The median house price recorded $300,000. (Break in the Chart reflects no sales).

27

There were three sales in Tom Price in the June quarter, with a median price of $225,000. (Breaks in the Chart reflect no sales).

3

TOM PRICE DWELLING SALES

SALES IN JUNE QUARTER

SALES IN JUNE QUARTER


In the Shire of Ashburton, for those sellers who are offering a discount, the average discount is 6 per cent as at the June quarter 2017. Given the small size of the market, the propor on and size of discount can be very vola le. Over the last 12 months the discount offered has been 7.4 per cent. In the towns of Onslow and Tom Price, the discount offered was 6.3 per cent and 5.9 per cent respec vely, for the June quarter.

6% AVERAGE DISCOUNT

AVERAGE DISCOUNT

91 AVERAGE SELLING

DAYS


Average selling days for houses in the Ashburton LGA for the June quarter blew out to 91 days. Selling days in this region are very fickle and vary widely. Across the last four years, the average number of days on market is 95 days. Within the main markets of the region, Onslow recorded 21 days on market and Tom Price 126 days. (Break in the Chart reflects no sales).

8% INCREASE IN LISTINGS

LISTINGS FOR SALE

Lis ngs for sale increased by 8 per cent in the June 2017 quarter, from 13 to 14 lis ngs across houses, units and land. Over the last four years, average quarterly levels of stock have hovered around 24. Current stock levels are much lower than they have been in recent years. The majority of lis ngs are for houses, which make up 71 per cent of stock, with units 21 per cent and land 7 per cent of total stock in the market.

28

The June 2017 quarter recorded 78 days to lease a house in the Ashburton LGA. Compared to the same me last year, days to lease have li ed by 19 days. It is not surprising that, as it is taking longer to lease a property, leasing ac vity is also subdued.

The total number of proper es leased in the June quarter in the Ashburton LGA was 13, down from 24 in the previous quarter.


MEDIAN RENT

Median rents for the June quarter are mixed across the Shire of Ashburton. In Onslow, median house rent was $738 and unit rent $480, with an overall median rent of $620.

In Tom Price, median house rent was $450 for the quarter. Compared to the same me last year, the overall rent in Onslow has dropped by $143 and in Tom Price, by $100 over the same period.

24 DWELLINGS

LISTED FOR RENT

LISTINGS FOR RENT

The Shire of Ashburton has seen a slight rise in lis ngs for rent in the June 2017 quarter. Lis ngs across houses and units li ed to 24, up from 21 in the previous quarter. Houses represent 63 per cent of total rent lis ngs. Across the Shire’s major towns, 22 lis ngs can be found in Onslow, two in Tom Price and two in Paraburdoo for the June quarter.

29

Median rent House Unit Overall Median rent House Unit Overall

Onslow Tom Price

Q2 2016 $775 $600 $763 Q2 2016 $550 $550

Q3 2016 $850 $800 $800 Q3 2016 $600 $600

Q4 2016 $850 $550 $610 Q4 2016 $350 $500 $425

Q1 2017 $900 $650 $750 Q1 2017 $500 $550 $500

Q2 2017 $738 $480 $620 Q2 2017 $450 $450

Leasing days House Leased House Unit Total

Q2 2016 59 Q2 2016 12 1 13

Q3 2016 80 Q3 2016 15 7 22

Q4 2016 57 Q4 2016 7 11 18

Q1 2017 49 Q1 2017 18 6 24

Q2 2017 78 Q2 2017 10 3 13

Overview The Town of Port Hedland is one of four LGAs located in the Pilbara region of Western Australia. Port Hedland is the second

largest town in the region, with an es mated urban popula on of 15,191, including the satellite town of South Hedland,

18 km away.

June quarter 2017 saw dwelling sales in the Town of Port Hedland dip by 16 per cent to record 65 transac ons (houses and

units) in the whole LGA. Houses make up 90 per cent of the dwelling market in the Town of Port Hedland for the June quarter.

Median dwelling price in the LGA recorded $198,000 for June quarter 2017, a quarterly decline of six per cent.

In Port Hedland proper, sales ac vity slipped 38 per cent to record 13 sales in the June quarter. South Hedland recorded 52

sales, a small dip of 7 per cent compared to the March quarter. Dwelling prices in both Port and South Hedland are a far cry

from their peaks in 2013, however the June quarter saw quarterly dwelling prices in Port Hedland pick up by 27 per cent, to li

the median to $375,000. South Hedland didn’t see the same rise, but prices only dipped by 7 per cent to record a dwelling

median of $168,500.

Spotlight on the Town of Port Hedland

Port Hedland | South Hedland

31

32

27%

MEDIAN DWELLING

PRICE

Houses make up 90 per cent of the dwelling market in the Town of Port Hedland for the June quarter. Median dwelling price in the Town of Port Hedland recorded $198,000 for June quarter 2017, a quarterly decline of six per cent.

6%

MEDIAN DWELLING

PRICE

In Port Hedland proper, sales ac vity slipped 38 per cent to record 13 sales in the June quarter. While recorded sales were lower, median house prices rose for the first me in seven quarters, to $375,000.

South Hedland recorded 52 sales, a small dip of 7 per cent compared to the March quarter. The median housing price fell to $168,500, down 12% on the previous quarter.

12%

MEDIAN DWELLING

PRICE

DECREASE IN DWELLING PRICE



15%

LISTINGS FOR SALE

Lis ngs for sale declined by 15 per cent in the June 2017 quarter, from 202 to 172 lis ngs across

houses, units and land in the Town of Port Hedland. Over the last four years, average quarterly

levels of stock have hovered around 248. Current stock levels are much lower than they have been

in recent years.

33

100 LISTINGS FOR SALE

LISTINGS FOR SALE

There were 100 lis ngs for sale in South Hedland in the June quarter, the lowest number of lis ngs

since the 2013 March quarter. 82 of the total lis ngs were for houses, and 18 for units.

Port Hedland had a total of 51 dwellings listed for sale in the June quarter, comprising of 33 houses

and 18 units. This is a slight decrease from the 57 listed for sale in the previous quarter, and down

from a peak of 92 in September 2016.

51 LISTINGS FOR SALE

LISTINGS FOR SALE

DECREASE IN LISTINGS

1 VACANT

LAND SALE

VACANT LAND SALES

34

Average selling days for dwellings in the Town of Port Hedland dropped by 21 days over the June

quarter, from 104 to 83 days. In Port Hedland, average days on market were 88 and in South

Hedland, 81 days were recorded. Compared to the same me last year, it now takes overall less

days to sell a dwelling (100 days versus 83) across the whole LGA.


In the Town of Port Hedland, the size of discount offered during the June quarter varies between

the major towns. Port Hedland was offering a discount of 4.4 per cent, whereas South Hedland

was giving away 11.6 per cent. Pleasingly though, discounts now are much lower than they were

twelve months ago.

Land sale ac vity across the Town of Port Hedland LGA has been subdued, with zero sales reported from the second quarter 2015, to the second quarter 2016. One vacant land sale has been recorded in each quarter over the last 12 months. (Break in chart reflects no sales)

83 AVERAGE SELLING

DAYS

10% AVERAGE DISCOUNT

DISCOUNTING MEASURES

Port Hedland had a total of 75 lis ngs for rent, which is a 21 per cent decrease on the

previous quarter.

LISTINGS FOR RENT

The rental market in the Town of Port Hedland has seen some improvement, mostly in the sense

that lis ngs stock is declining. Both sub‐markets have seen a drop of stock equivalent to 21 and 23

per cent since the March quarter.

35

231 DWELLINGS

LISTED FOR RENT

LISTINGS FOR RENT

75 DWELLINGS

LISTED FOR RENT

South Hedland had a total of 154 dwelling listed for rent, comprising of 107 houses and 47 units.

The number of dwellings listed for South Hedland is con nuing to decrease, and is at the lowest

since the June quarter in 2013.

LISTINGS FOR RENT

154 DWELLINGS

LISTED FOR RENT

36

Median rents are mixed across the Town of Port Hedland region.

Port Hedland recorded an overall median rent of $500, a drop of $50 since the March 2017

quarter. Rents have con nued to fall from a peak of $1,650 in March 2013.

South Hedland recorded an overall median rent of $350, which is stable since the prior quarter.

$350 MEDIAN

RENT PER WEEK

MEDIAN RENT

$500 MEDIAN

RENT PER WEEK

MEDIAN RENT

$350 MEDIAN

RENT PER WEEK

MEDIAN RENT


In the June 2017 quarter, the average leasing days for Port Hedland was 32, compared to 53 in the

same quarter last year.

37

32 AVERAGE

LEASING DAYS


56 AVERAGE

LEASING DAYS

There were a total of 166 dwellings leased in the Town of Port Hedland in the June quarter, with

136 leased in South Hedland and 29 in Port Hedland. The overall number of leased dwellings has

seen a consecu ve increase over the last five quarters across the Town.

DWELLINGS LEASED

166 DWELLINGS LEASED

It took 56 days to lease a dwelling in South Hedland in the June quarter, down from 63 days in the

previous quarter. There has been a 23 per cent decrease in the number of days it takes to lease a

dwelling compared to the same me last year.

DEVELOPMENT PROPOSALS For up to date informa on on development proposals, including temporary and permanent accommoda on, visit the local government

website.

Shire of Ashburton Ph: (08) 9188 4444 www.ashburton.wa.gov.au

Shire of East Pilbara Ph: (08) 9175 8000 www.eastpilbara.wa.gov.au

Town of Port Hedland Ph: (08) 9158 9300 www.porthedland.wa.gov.au

City of Karratha Ph: (08) 9186 8555 www.karratha.wa.gov.au

For up to date informa on on Land and Development sites, visit the LandCorp website and search for Pilbara.

38

PILBARA REAL ESTATE AGENTS

Caine Otley Real Estate Ph: 0400 565 425 www.caineotley.com

Crawford Realty South Hedland Ph: (08) 9117 2100 www.crawfordrealty.com.au

Crawford Realty Newman Ph: (08) 9116 8000 www.crawfordrealty.com.au

First Na onal Real Estate Karratha Ph: (08) 9144 2200 www.karratharealestate.com.au

First Na onal Real Estate Hedland Ph: (08) 9173 9200 www.hfn.com.au

Jan Ford Real Estate Ph: (08) 9173 5555 www.janfordrealestate.com.au

Karratha City Real Estate Ph: (08) 9183 8300

L.J. Hooker Pilbara Ph: (08) 9144 2499 www.ljhooker.com.au

Pilbara Real Estate Ph: (08) 9159 7777 www.pre.com.au

Pilbara Heart Real Estate Ph: (08) 9173 5050 www.phre.com.au

Professionals PHR Karratha Ph: (08) 9144 1244

Ray White Karratha Ph: (08) 9185 2444 www.raywhitekarratha.com.au

Ray White Port Hedland Ph: (08) 9140 2311 www.raywhiteporthedland.com.au

Realmark Karratha Ph: (08) 9197 2600 www.karratha.realmark.com.au

LAND INFORMATION & SALES

LandCorp

www.landcorp.com.au/pilbara

Regional Manager East Pilbara ‐ Travis McNaught

Mobile: +61409 209 628

Regional Manager West Pilbara ‐ Brad Pawlenko

Ph: (08) 94827529

Landgate

Ph: (08) 9273 7373 www.landgate.wa.gov.au

Tel: 1800 THE PILBARA (+61) 1800 843 745 [email protected] | www.pdc.wa.gov.au

As publishers of this report, the Pilbara Development Commission makes every reasonable effort to ensure the accuracy of all informa on in the report. Nevertheless, we are unable to guarantee the accuracy of all informa on contained. We take no responsibility and will not be liable either in contract for

negligence or in any other way for any errors, act or omissions, which may occur in rela on to the report.

pilbara half yearly housing & land snapshot · 2017. 9. 5. · quarterly prices have been...

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