Perth Property Values Are Still Strong. Is Your Home Loan Making the Most of It?

The market is starting to change, though.

REIWA reported 7,335 properties for sale in Perth at the end of August 2026, up 146.1% compared with the same time last year. Buyer demand has eased and properties are taking longer to sell.

That doesn't mean Perth property prices are about to fall.

It does mean now is a sensible time to look at the value you've built in your property and make sure your home loan still suits where you're heading.

You might be able to get a better rate, consolidate other debts, access equity for renovations or start planning your next property purchase.

Start by working out how much usable equity you have

Your equity is the difference between what your property is worth and what you owe on it.

But not all of that equity is necessarily available to use.

A simple way to estimate usable equity is to work to 80% of the property's value, then subtract your existing home loan.

For example, if your home is worth $900,000 and you owe $500,000: 80% of $900,000 is $720,000, and $720,000 less your $500,000 loan is approximately $220,000 usable equity.

That doesn't mean you can automatically borrow the full $220,000. The lender still needs to look at your income, expenses, existing debts, borrowing capacity and what the money will be used for.

But it gives you a useful starting point.

Is your current home loan still competitive?

This is probably the easiest place to start.

When did you last properly review your home loan? Not just check the rate on your banking app, but actually compare it with what else is available.

Rates and lender pricing change regularly. The RBA recently noted that competition between lenders remains strong, with some lenders reducing advertised rates on selected variable and fixed home loans.

A home loan that was a great deal two or three years ago may not be the best fit today.

When we review a loan, we look at more than just the interest rate. We look at the repayments, fees, offset accounts, redraw, loan structure and the cost of changing lenders.

Sometimes refinancing makes sense. Sometimes your current lender is still the best option. And sometimes we can simply ask your existing lender for a better rate.

The point is to check.

If you want a neutral starting point, ASIC's Moneysmart guide to switching home loans covers the fees and questions worth checking first.

A higher property value could improve your refinancing options

If your property value has increased while you've also been paying your loan down, your loan-to-value ratio may have improved.

That can put you in a very different position with lenders.

For example, perhaps you originally borrowed $600,000 against a $700,000 property. If your loan is now $560,000 and the property is worth $900,000, your LVR has dropped from around 86% to around 62%.

That could open up more lender and pricing options.

It doesn't mean refinancing will automatically be worthwhile, but it gives us more to work with.

Could you use your equity to consolidate debt?

If you're carrying credit cards, personal loans, car loans or other debts, it may be worth looking at whether some of those debts can be consolidated into your home loan.

The main benefit can be improved monthly cash flow and fewer repayments to manage.

But it needs to be done carefully.

Moving a five-year personal loan into a 30-year mortgage might reduce the monthly repayment, but you don't want to still be paying for that personal loan 25 years from now.

If we consolidate debts, we can also look at how to structure repayments so you're not simply stretching short-term debt over a much longer period.

The goal is to give you some breathing room while still having a plan to get ahead.

Moneysmart has a useful overview of debt consolidation and refinancing if you want to read more first.

You may be able to access equity for renovations

Maybe your next move isn't another property. Maybe you want to improve the one you already have.

Usable equity may be able to help fund things such as:

• a kitchen or bathroom renovation
• a pool
• landscaping
• flooring
• an extension
• repairs or upgrades.

Using your home equity may be more cost-effective than funding a large project through credit cards or personal loans.

Of course, you're still borrowing more money, so we want to make sure the repayments remain comfortable and the structure makes sense.

Your current home could help fund your next property

This is where strong property growth can really change things.

If you're thinking about buying an investment property or upgrading your home, you may not need to save another full deposit in cash.

Your existing property may have built enough usable equity to help with the deposit and purchase costs.

For example, if your home is worth $1 million and you owe $500,000, you have around $300,000 of usable equity to 80% LVR.

You may be able to access some of that equity towards another property.

But there are two separate questions we need to answer: how much usable equity do you have, and how much can you afford to borrow?

You can have plenty of equity but not enough borrowing capacity for the next purchase. That's why we always look at both.

Get organised before you find the property

If another purchase is something you're thinking about over the next year or two, it's worth understanding your position before the perfect property pops up.

You don't necessarily need to release equity straight away. We can first work out:

• your estimated property value
• your current loan balance
• your usable equity
• your borrowing capacity
• what you could potentially buy
• how the loans could be structured.

Then, if the right property comes along, you're not starting from scratch.

Can you refinance, consolidate debt and release equity at the same time?

Sometimes, yes. A refinance doesn't have to mean simply moving the exact same loan from Bank A to Bank B.

Depending on your situation, we might look at refinancing your existing mortgage, consolidating eligible debts and accessing some equity at the same time.

For example:

Whether that works will depend on your property value, borrowing capacity and the lender's policy.

But it's a good example of why a home loan review can be about much more than chasing a slightly lower rate.

Just because you have equity doesn't mean you need to use it

This part matters. Equity isn't free money. If you access it, you're increasing your debt.

So the question shouldn't be: how much can I borrow? It should be: what am I trying to achieve, and is borrowing against my property a sensible way to do it?

Sometimes the best outcome is refinancing to a better loan and leaving the equity alone. Sometimes debt consolidation can make a meaningful difference to household cash flow. And sometimes that equity can help you take the next step with property.

It depends on your situation.

Perth's market is changing. It's worth knowing where you stand.

Perth property values are still strong, with REIWA currently reporting a Perth median house price of around $960,000 for the 12 months to August 2026. At the same time, the number of properties for sale has increased sharply and the market is becoming more balanced.

No one knows exactly what property prices will do next. But if you've benefited from several years of growth, this is a good time to understand what that has done for your financial position.

Your home loan might be due for a better rate. You might have debts that could be structured more effectively. You might have usable equity sitting there that could help with renovations or another property. Or you might find out that your current setup is already pretty good.

Either way, it's worth knowing.

When did you last review your home loan?

At Mesh Finance, we can look at your current mortgage, estimated property value and overall financial position to see what options you have.

We'll compare your current loan against suitable alternatives and look at whether refinancing, debt consolidation or accessing equity actually makes sense for you.

No refinancing for the sake of refinancing. Just a clear look at where you are now and what your property might help you do next.