State of Markets - WA January 2013

Mining towns start to suffer
One mining area has seen drops of $25,000 over the September quarter, according to recent sales results.

On the back of negative media publicity and resulting subdued buyer sentiment, the Pilbara saw the average median price plummet to $825,000, according to latest sales figures from Crawford Realty.

This correct has, however, been “expected”, according to Ryan Crawford, director of Crawford Realty.

He pointed to a similar trend in 2008 when negative publicity about the GFC resulted in a temporary decline in the Pilbara’s prices. They then saw a rebound in 2009.

“The reality is that there will continue to be huge investments in the state’s resources sector, but the decision making process of property investors is influenced in the short term by negative media sentiment,” Mr Crawford said.

Wheatbelt towns benefit from funding
The Wheatbelt towns of Southern Cross and Westonia are set to benefit from more housing options, thanks to a funding boost of $720,000 from the state government’s Royalties for Regions Country Local Government Fund.

Stage one of the Yilgarn-Westonia Multi-Purpose Accommodation Project would go towards building three 3x2 modern residential units, including two at Southern Cross.

Regional development minister, Brendon Grylls, said this was an important infrastructure project, which responded to the communities’ urgent need to increase the region’s housing options.

“These new accommodation options will suit the needs of professional workers and be instrumental in their attraction and retention to the region,” Mr Grylls said.

“The provision of adequate housing options is essential in overcoming the challenge of attracting professional employees to regional and remote areas, so it’s great that Royalties for Regions funding is being used to address this.”

Currently, only stage one of the project has been funded. Stages two and three of the project will involve the development of well-aged accommodation for the area.