First home buyers take the lead in Perth's new land market

First home buyers have been steadily growing as a proportion of Greater Perth’s new housing market since mid-2025, according to the latest new land sales data from the Urban Development Institute of Australia (UDIA WA).

In the September Quarter 2026, first home buyers accounted for 55.7 per cent of the new land market, compared with 31.4 per cent for owner occupiers and just 12.8 per cent for investors. That represents a further increase from 51.9 per cent in the previous quarter and a significant shift from back in the June Quarter 2025, when first home buyers represented 29.8 per cent of the market and investors accounted for 28.9 per cent.

The numbers illustrate just how significantly the composition of Perth’s new land market has adjusted in the last 12-18 months.

Perhaps most importantly, the growth in first home buyer activity has occurred despite steadily rising new land prices and the limited supply of new land available to the market in many areas.

For aspiring homeowners, getting a foot on the property ladder remains an important milestone. Home ownership is a cornerstone of financial security for many people, and it is encouraging to see so many Western Australians continuing to take that step.

Perth also remains one of Australia’s most accessible capital city housing markets, despite the substantial price growth we have experienced, and that relative accessibility is important as buyers weigh up their options and as governments and industry continue working to ensure that enough new homes can be delivered to meet demand.

More choice returning to market

As we look at the forward housing supply pipeline in Perth, there is positive news for those who are looking to purchase a new home, with new land supply levels beginning to improve following collaborative efforts between private industry and state and federal governments to get more homes on the ground, faster.

At the end of September, there were 977 lots on the market across Greater Perth, which is up from just 460 in the previous quarter, representing an increase of 112.4 per cent.

That is a significant improvement in a single quarter and, importantly for buyers, means greater choice.

There are also positive indicators for the forward development pipeline, as lots under construction and expected to be released within the next six months increased by 5.4 per cent.

While this figure is promising, lots under construction for release within a longer timeframe (within the next six to 12 months) have declined moderately, by 18.7 per cent, highlighting the importance of maintaining focus on supporting more supply coming through the pipeline in the longer term.

Sales ease after period of strong activity

Sales activity has moderated during the September 2026 Quarter according to UDIA WA’s data, however, that is following a peak in sales activity in September 2025.

New land sales declined by 14.6 per cent over the quarter, with a total of 1,924 lots sold in the September 2026 quarter, compared with 2,254 in the March 2026 quarter.

Looking at annual movement, sales volumes in Greater Perth are 47.8 per cent lower than the 3,683 recorded in the September Quarter peak last year.  

While buyer activity has moderated, we are comparing this sales activity to an incredibly high level of activity in 2025. The ongoing constraints on housing supply along with rising interest rates and a growing level of consumer uncertainty has also likely impacted sales in this quarter.

Prices show signs of moderation

There has also been some relief on prices following the record levels reached earlier this year.

The average price of new land in Greater Perth is now $431,382, down 1.7 per cent over the September Quarter. That follows the record $438,882 average reached in the previous quarter, which was the highest average new land price ever recorded by UDIA WA.

The longer-term comparison, however, demonstrates how significantly prices have moved. In September 2025, the average new land price was $377,535, meaning the current average is 14.3 per cent higher year-on-year. The five-year average is considerably lower again at $313,007.

Increasing the number and diversity of homes available will be critical to maintaining Perth’s relative accessibility as the city continues to grow.

Perth’s growth corridors continue to lead

New home buyer activity continues to be strongest in Perth’s major growth corridors to the north and south of the city.

The City of Wanneroo recorded by far the strongest sales numbers during the quarter, with 734 new lots sold at an average price of $419,307. The City of Armadale followed with 319 lots sold at an average price of $409,624.

Wanneroo also has the largest pipeline of lots under construction, with 2,983 expected to be released over the next 12 months. The Shire of Serpentine-Jarrahdale follows with 1,138 lots under construction.

Those figures highlight the significant role Perth’s growth corridors continue to play in providing new housing opportunities.

The latest data is encouraging for first home buyers and demonstrates that more choice is beginning to emerge in the market, but there remains a significant task ahead.

Maintaining a strong pipeline of development-ready land and new homes will be essential if Western Australia is to continue providing opportunities for people to enter the housing market.

For the growing number of first home buyers currently leading Perth’s new land market, ensuring that supply keeps pace with demand will be critical to keeping that opportunity within reach.