For years, Perth has been recognised as one of Australia’s most affordable capital cities. While property prices have risen significantly over the past few years, Perth still offers better value than many of its eastern state counterparts. In 2026, affordability remains one of the city’s biggest advantages for homebuyers, investors, and families looking to get more for their money.
But just how affordable is Perth compared to the rest of Australia?
Perth Still Offers More Value
Although Perth’s median house price has climbed, it remains well below cities like Sydney and Brisbane, and is generally more affordable than Melbourne and Canberra. Buyers with the same budget can often purchase a larger home, a bigger block of land, or live closer to the CBD than they could in many other capital cities.
This value proposition has become increasingly attractive as housing affordability continues to decline across Australia. Buyers relocating from the East Coast are often surprised by what their budget can secure in Perth, particularly in established suburbs.
For first-home buyers, Perth continues to provide one of the most accessible entry points into a capital city property market.
| Australian Capital | Relative Affordability (2026) | What Buyers Can Generally Expect |
|---|---|---|
| Perth | Excellent | Larger homes, bigger blocks, and excellent value for money across many suburbs. |
| Adelaide | Good | Family homes remain accessible, although prices have risen significantly. |
| Brisbane | Moderate | Good lifestyle, but higher prices have reduced affordability in recent years. |
| Melbourne | Limited | Smaller homes or properties further from the CBD for the same budget. |
| Canberra | Limited | Higher entry prices, with affordability remaining a challenge. |
| Sydney | Very Limited | Australia’s most expensive market, where buyers often compromise on size or location. |
| Hobart | Moderate | Better value than Sydney and Melbourne, but affordability has declined. |
| Darwin | Good | Competitive pricing with opportunities for buyers seeking space and value. |
Better Lifestyle for the Price
Affordability isn’t just about the purchase price. It’s also about what you receive in return.
In Perth, many buyers can still afford detached homes with backyards, modern family-friendly estates, or properties within commuting distance of the city. In Sydney or Melbourne, similar budgets may only stretch to apartments or homes much further from employment centres.
This allows many Perth residents to enjoy a lifestyle that combines larger living spaces with access to beaches, parks, schools, and recreational facilities without paying the premium seen elsewhere.
Cost of Living Still Matters
While housing is generally more affordable, Perth is not immune to broader cost-of-living pressures. Groceries, utilities, insurance, and everyday expenses have all increased over recent years, much like the rest of Australia.
However, lower housing costs often help offset these increases. For many households, mortgage repayments or rental costs remain more manageable than in several other capital cities, leaving greater flexibility in household budgets.
Why Buyers Continue to Choose Perth
Affordability is only part of Perth’s appeal. Strong employment opportunities, particularly across mining, energy, healthcare, and construction, continue to attract new residents from interstate and overseas.
At the same time, Western Australia’s population growth is supporting long-term housing demand. Buyers see Perth as a city where they can secure quality housing while still benefiting from future capital growth.
Investors are also attracted by relatively affordable purchase prices combined with strong rental demand, creating opportunities that are becoming increasingly difficult to find in more expensive markets.
Is Perth Still Affordable?
The answer depends on perspective.
Compared to where Perth was five years ago, housing is certainly more expensive. Buyers today need larger deposits and higher borrowing capacity than they once did.
However, when compared with Australia’s other major capitals, Perth continues to stand out as one of the country’s best-value property markets. While affordability has narrowed, the city still offers considerably more purchasing power than many competing markets.
The Bottom Line
Perth remains one of Australia’s most affordable capital cities in 2026, despite recent price growth. Buyers continue to enjoy greater value, larger homes, and better lifestyle opportunities than many other parts of the country. While affordability challenges exist everywhere, Perth still offers one of the strongest combinations of price, liveability, and long-term potential, making it an attractive destination for both homebuyers and investors.