A home in Girrawheen, a suburb in Perth’s northern region, has generated significant interest, attracting 110 prospective buyers and resulting in 45 offers after its initial open house. This surge in activity highlights the intense competition in the first-home buyer market, driven by a combination of low property listings and the Federal Government’s five per cent deposit scheme.
Jennifer Noye, a property agent from Edison, noted the unprecedented level of interest for this particular home. Typically, properties in this affordable price range receive around ten offers, but this home has surpassed all expectations. The three-bedroom, two-bathroom property, situated on a 688-square-metre subdividable block, was listed with offers starting from $690,000 and ultimately sold for $850,000. The successful buyer utilized the government’s deposit scheme, which is capped at this sale price.
Interest in the Girrawheen home came from various sources, including first-time buyers and investors from both Western Australia and other eastern states. Many potential buyers were drawn to the block’s size and subdivision potential, with several expressing a willingness to purchase the property without seeing it first.
Recent data from the Real Estate Institute of Western Australia (REIWA) indicates that the median sale price in Girrawheen rose by 17.7 per cent from October 2024 to October 2025. In comparison, the overall Greater Perth area experienced a 12.8 per cent increase during the same period. Currently, the median sale price in Girrawheen stands at $685,000, which is notably lower than the Perth median of $820,000.
Suzanne Brown, president of REIWA, highlighted the challenges faced by first-home buyers in the current market. Reports from agents indicate that homes within the affordable price range are attracting over 100 groups to inspections in less than an hour. “This is a very difficult market, especially in first home buyer price brackets and for families searching in the $1 million to $1.5 million range,” she stated. “Properties priced below the Perth median are flying off the market.”
Brown advised potential buyers to be realistic about their expectations in this competitive environment. She emphasized the importance of flexibility regarding target properties and suburbs, as well as adhering to budgets. With median selling days averaging around nine days, she stressed the need for buyers to act swiftly and secure pre-approval for their finances to make competitive offers.
The current market conditions have also led to rising anxiety among house hunters, with many missing out on multiple properties. “What agents are seeing is a concerning trend of buyers making offers well outside their preferred budget,” Brown noted. “REIWA agents are aware of the challenges that house hunters face, and this is not a market they want to experience.”
The low number of property listings is a critical factor contributing to the heightened competition. Listings are currently 44.3 per cent lower than they were a year ago, creating a supply-demand imbalance. Brown indicated that many homeowners are hesitant to list their properties for sale due to fears of not finding suitable new homes.
As the market continues to evolve, it remains to be seen how these dynamics will impact both buyers and sellers in Perth. The combination of government initiatives and low inventory is reshaping the landscape for first-home buyers, making it an exciting yet challenging time for those looking to enter the property market.
