A satellite city less than an hour from Perth has quickly risen through the rankings to become the hottest property market in the country.
Mandurah has seen its home values skyrocket in the past few years, and experts say several factors suggest the little-known regional city will continue to outperform in the years ahead.
Over the 12 months to February, property prices in Mandurah have jumped 22.2% - more than double the national growth rate of 9.1%.
That puts it ahead of other red-hot markets, including Perth’s outer fringe, Ipswich and Toowoomba on the outskirts of Brisbane, WA’s Wheat Belt region, and parts of regional Queensland.
These pockets – defined by the Australian Bureau of Statistics as SA4 regions – are usually larger than a local government area and have a population of between 100,000 and 500,000 people.
Breaking it down this way, it provides somewhat of a heatmap on the current property hotspots – at a more granular level than capital cities and the rest of the state, and broader than suburbs.
Jump ahead to see the top performing suburbs in Mandurah.
Mandurah is home to more than 100,000 people, making it Western Australia’s largest regional city. Home prices have doubled in the past five years, jumping from $404,000 in December 2015 to $800,000 at the end of 2025.
But in the five years prior – as was seen across the rest of Western Australia – home prices traded sideways.
The rapid pace of price growth since Covid is due to several factors, but real estate agents continually point to the lack of homes on the market as a major driver.
Across Perth, the number of active property listings has almost halved compared to pre-pandemic levels, and the rate at which new homes are being built is not keeping up with the rate at which the population is rising.
New population forecasts suggest this issue isn’t going away any time soon.
Already the fastest growing state, Centre for Population projections show Western Australia is expected to add 584,000 people to its population over the next decade – the fastest growth rate in the country at around 1.5% annually.
Mandurah has a population of around 100,000 people. Picture: realestate.com.au
Crucially, around 80% of the population is projected to be concentrated in Perth.
This matters because as buyers get priced out of the inner-city suburbs, locations that offer affordability without compromising on lifestyle become highly sought after.
This is already playing out across southeast Queensland – with outer fringe locations such as Ipswich, Toowoomba and Moreton Bay soaring as buyers seek freestanding homes within commuting distance of the capital city.
Freestanding homes on large blocks near the beach, such as 29 Gray Road, are selling for less than $850,000. Picture: realestate.com.au
As for Mandurah, around half of its working population works within the city, and the other half commutes elsewhere – mostly to Perth.
With a median home price of $800,000, the city is considered far more affordable than Perth, where a typical property sits just shy of $1 million.
Mandurah has also been identified for several years as one of Australia’s best lifestyle locations for its lifestyle and tourism offering. With an estuary twice the size of Sydney Harbour, the city is built for waterfront living.
It was also nominated by three separate property experts in the 2025 realestate.com.au Hot 100 list – which identifies the locations with the best prospects of outperforming in the year ahead.
Top 10 Mandurah suburbs in the past 12 months
| Suburb | Property Type | Median Price | 12 month growth | 5 year growth |
| Dudley Park | Unit | $590,000 | 34% | 203% |
| Erskine | Unit | $605,000 | 29% | 95% |
| Mandurah | Unit | $550,000 | 22% | 97% |
| Pinjarra | House | $655,000 | 21% | 98% |
| Madora Bay | House | $920,000 | 21% | 70% |
| Halls Head | Unit | $665,000 | 21% | 138% |
| Falcon | House | $790,000 | 16% | 111% |
| Furnissdale | House | $791,000 | 16% | 52% |
| Erskine | House | $790,000 | 16% | 84% |
| Ravenswood | House | $735,000 | 15% | 88% |
But with prices doubling in just five years, whether the current pace of price growth can be sustained is another question.
After such a large increase in home prices in recent years, affordability has deteriorated and the prospect of more rate hikes throughout 2026 will only see this worsen.
According to the latest PropTrack Market Outlook report, the WA capital is expected to continue its run of outperformance in the year ahead, but with price growth stepping down from the exceptionally strong pace recorded in 2024 and 2025.
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