Around 90% of Perth homes are selling for more than their listed price.

selling for more than their listed price.

Around 90% of Perth homes are selling for more than their listed price.

The number of Perth sellers discounting their houses is at the lowest level in the past 20 years, according to new REIWA data.

So far this year, only 12.6 per cent of houses have sold for less than the listed price, significantly lower than the rate of discounting during the previous boom when 46.3 per cent of houses were sold for less than their listed price in 2014.

REIWA chief executive Cath Hart said this figure highlights just how tight the market is.

“Along with strong price growth and record low days on market, this figure shows the incredible effect the high level of competition for houses is having on the market,” she said.

“Many sellers are receiving multiple offers, with nearly 90 per cent of houses selling for more than the listing price.”

REIWA data for Perth house sales up to May this year shows that houses are selling for approximately 5 per cent more than the listing price.

Hart noted that the current low level of discounting was not surprising.

“We’re in a rising market. There is strong competition for properties and this puts upward pressure on prices,” she said.

“Agents base their listing price on comparative sales, but the competition between buyers will often see it sell for more. How much more is very difficult to predict in the current market."

“And with homes selling so quickly, prices are moving upward quickly – each sale creates a new baseline for a neighbourhood. New homes in that area come to market above the baseline, but then competition often sees them sell above that, which resets the baseline.”

Hart noted that the proportion of sellers discounting was at its lowest in the most sought-after price ranges, with the highest level of discounting occurring at the top end of the market.

“About 10 per cent of sellers accepted an offer below the listed price for properties listed at between $350,000 and $800,000,” she said.

“For houses sold over $3 million, 31 per cent sold for below the listing price."

“The traditional approach in real estate has been to come in below the asking price, but the strong competition for homes means buyers need to make their first offer their best offer."

“And this doesn’t just mean in terms of price. Ask the agent what you can do to make your offer more attractive … a longer settlement, the chance to rent the home back while they find a new home or a cash offer.”

By the end of the 2025 financial year, house prices are expected to exceed $840,000, according to Domain, while unit prices are predicted to reach record highs of around $440,000.