Karratha Property Market Update 2nd Half 2025
Karratha is a vibrant town located in the heart of the Pilbara region of Western Australia. It is known for stunning red desert plains, rugged coastlines, and mining and energy industries. Karratha offers a unique blend of natural beauty and modern infrastructure.
Property Trends
In Q2 2025, Karratha recorded a median house price of $655,000 and a median unit price of $495,000. This represents annual (Q2 2024 – Q2 2025) growth of 12.9% for houses and a 4.2% increase for units. Comparing Q2 2024 and Q2 2025, sales declined by -57.4% (to 46 sales in Q2 2025) for houses and -34.0% (to 4 sales in Q2 2025) for units. There is an undersupplied market, which can explain the median price increase. This suggests now is an ideal time for owners to capitalise on their investments in the housing market. The unit market has seen slower median price growth, presenting the opportunity for buyers to own property in Karratha if they act fast.
Project Development
Karratha will see approximately $282.1M of new projects commencing construction in 2025. The largest project planned for Karratha is the Pilba Ports Authority (PPA) of Dampier Wharf extension ($200M). The Jadura Cresent Apartments & Grouped Dwellings (20 Apartments & 17 Dwellings) is the only residential project planned. With very little new ready-to-sell stock commencing construction in 2025, a further undersupply for houses is highly possible, which will push prices higher.
Rental Market & Growth
House rental yields in Karratha were 10.4% as of June 2025, above that of the City of Karratha (8.2%) and the Perth Metro (3.7%). Furthermore, median house rental price increased by 27.3% in the past 12 months to Q2 2025, at $1,400 per week. In the same timeframe the number of houses rented decreased, by -39.2% (to 59 houses) in Q2 2025, which suggests an undersupply. There is a highly demanded and competitive house rental market in Karratha, which is beneficial to investors.
Vacancy Rates & Property Investment
Karratha recorded a vacancy rate of 0.2% in June 2025, slightly above the City of Karratha average of 0.1% but well below that of Perth Metro’s 0.8%. Vacancy rates showed a declining trend in the past 12 months, indicating an even tighter rental market. Furthermore, a 0.2% vacancy rate is well below the Real Estate Institution of Australia’s healthy benchmark of 3.0%, indicating quicker occupancy of rental homes in Karratha. This creates a conducive and sustainable investment, even with a higher house and unit sales price (thus entry price for investment) seen in Q2 2025.
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