Australia’s largest state by area is Western Australia, and has a population of about 2.6 million people. The property market has been gaining traction over the last year, with house and unit prices rising by well over 6% across the state. The same is not true, however for the state’s capital, Perth, where housing prices have fallen by 2.8%. A similar story in the beautiful coastal city of Broome, to the north, where median unit prices have fallen heavily, and auction clearance rates are at 0%. This may increase real estate commission, as agents try to keep their income steady.
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Western Australia currently has an unregulated real estate commission market, allowing agents to set commission based off of supply and demand. In Margaret River, to the south of Perth, real estate agent commission is affected by moderately high house prices and a comparatively smaller number of real estate agents, which act to lower and raise commission respectively. Beach town, Mandurah, near Perth, is similarly affected.
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