Perth Homeowners Turn to Outdoor Living Upgrades as Property Market Tightens
Perth Homeowners Opt for Outdoor Upgrades Amid Tight Housing Market
Perth's property market is experiencing unprecedented supply constraints, with only 3,026 properties available for sale as of mid-November 2025—44.3% lower than the same time last year, according to the Real Estate Institute of Western Australia (REIWA). This compares to a balanced market range of 10,000-12,000 listings.
The shortage has pushed Perth's median house price to $820,000 in November 2025, representing a 12.3% increase from the previous year. With fierce competition for available properties—some listings attracting 45 or more offers—many homeowners are opting to invest in their current homes rather than face the challenging buyer's market.
"We're seeing homeowners transform their backyards into true extensions of their living space," says a spokesperson from Landscapes WA, a leading Perth landscaping company and member of the Landscape Industries Association. Rather than moving to a larger home, families are creating functional outdoor areas that give them more usable space—alfresco dining zones, entertainment areas, and garden retreats that can be enjoyed throughout most of the year.
The Outdoor Living Opportunity
Australia's renovation market continues to show strength, with the national market valued at approximately $48 billion in 2025—a 13% increase from 2024. Outdoor living spaces have become a central focus, with industry research suggesting these upgrades typically provide 60-100% ROI depending on the scope and quality of the work.
Popular outdoor projects in the Perth market include covered alfresco areas, outdoor kitchens and BBQ zones, custom decking, pergolas and shade structures, landscaped gardens with native plants, water-efficient reticulation systems, retaining walls, and outdoor lighting for extended evening use.
Market Fundamentals Support Continued Growth
Western Australia's population continues to grow at 2.3% annually—approximately 70,000 new residents—with Perth absorbing the majority. This ongoing population growth, combined with limited housing supply, creates sustained demand for quality homes with desirable features like functional outdoor spaces.
Perth's affordability advantage compared to eastern capitals (Sydney's median: $1.45 million; Melbourne's median: $980,000) continues to attract interstate migration, further supporting property values and renovation activity.
With Perth's property supply expected to remain constrained through 2026, industry experts anticipate sustained interest in home improvements that maximise existing properties' value and liveability.
Landscapes WA reports strong demand heading into the summer season, with homeowners across the Perth metro area seeking to complete outdoor projects before the peak entertainment period.
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Landscapes WA
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