'Everyone wants to live here': Meet the most desirable region of WA

It’s an area of stunning beaches, picturesque vineyards, verdant forests, gourmet food … and rocketing house prices.

The south-west corner of Western Australia is now being counted among the most desirable lifestyle destinations in the nation, with strong demand for homes in many locales, low supply and prices that are, as a result, smashing historical records.

“I put one house up for sale recently, then had to put my helmet on and mouth guard in to brace for the crowd of people saying they wanted it,” said Ian Carter of Carters Real Estate in Denmark.

“I was swamped with inquiries from all over Australia and overseas.

“It’s been crazy around here. I’ve been here 34 years and have never seen a marketplace like this. COVID-19 has changed the world, but it’s certainly changing it around here. It’s a beautiful, isolated spot, only half-an-hour from Albany, and suddenly everyone wants to live here.”

You can understand why.

Absolutely nothing is rotten about this state of Denmark, sitting on the Rainbow Coast, 400 kilometres south-east of Perth, resplendent with beaches, undulating green hills and a mild climate.

Here, prices have risen 21 per cent in the last quarter alone, according to a recent Domain report.

But it does have fierce competitors from many of the other towns in the 23,000 square kilometre south-west area that has just 170,000 inhabitants.

There’s bijou Yallingup, for example, four hours’ drive to the west, again on the coast, but surrounded by the Leeuwin-Naturaliste National Park, a mecca for the wealthy, surfers and fishermen.

Its median price, according to the Real Estate Institute of Western Australia (REIWA), has leapt 13.7 per cent over the quarter, and 53.3 per cent since June 2020.

Then there’s Eagle Bay, another beacon for the rich and famous, where prices have risen 14 per cent over the year, Dardanup where prices have jumped 10.8 per cent over the quarter, and Augusta-Margaret River, up 8.2 per cent in the same three months.

In Dunsborough, REIWA deputy president Joe White says prices have gone up 20 per cent in the past year and a half.

“When COVID hit, we had a six-week lockdown in March-April 2020, then as soon as we came out of that, KABOOM!” he said.

“And it hasn’t stopped since.”

“We were coming off a pretty low base, the longest property slump in WA history that went back to the GFC in 2008, but prices are now going through the roof. When a pandemic hits, people want to go to places with fewer people, and now they can work from home anywhere, they’re all discovering us.”

$2,900,000

14 North Street, Dunsborough WA 6281

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That whole region, surrounded by ocean and reserves, is very much the new Byron Bay, believes Rob Farris of JMW Real Estate, who’s selling a four-bedroom house at 14 North Street, Dunsborough, for $2.9 million.

Many major companies have now relocated their HQs to the south-west, too, and holiday homes that were only seasonally occupied have people living there five days a week, with two days spent in the office in Perth.

In addition, 40,000 previously fly-in, fly-out mine workers settled in the state, so they’d be able to work during state border lockdowns, with many coming to the south-west.

“With no overseas holidays, we had so many people visiting and discovering this area for the first time, too,” said Shane Greaves, of valuers Herron Todd White.

“Then we saw a big increase in people coming for a tree or sea change.”

“We’ve had a lot of buyers buying from the east coast, sight unseen and paying prices that seem reasonable compared to Sydney prices but that are very high here. We’ve had sales in Yallingup for $4.3 million and $4.5 million, and Eagle Bay for 6.5 million. There’s plenty of money out there.”

Upper $3 millions

149 Terry Drive, Margaret River WA 6285

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In Margaret River, an area that’s dominated by older housing stock, with only a few standout prestige properties, another home is being sold for $4 million.

“It is an absolute ripper, though,” said Mack Hall Real Estate agent Mitch Thorson of the house at 149 Terry Drive.

“The first owner of this now lives in Monaco.”

Even residents who were in the area are now returning.

A five-bedroom house at 49 Mentelle Road, Burnside, being sold for offers with an expectation of $2.2 million to $2.5 million, has, among its potential purchasers, one man who last owned it eight years ago.

“He’s now trying to raise the money to buy it back,” said agent Paul Manners of Space Real Estate.

“The area is so popular now, and so many people want to live here.”

SOLD - $2,200,000

49 Mentelle Road, Burnside WA 6285

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