Forget the postcode: Buying in next door suburb saves money in Perth

Significant price differentials between neighbouring Perth suburbs are increasing apparent to buyers willing to slightly compromise on location.

Peppermint Grove tops the city's list with a median price of $3.95 million - but that is almost three times more than neighbouring Mosman Park's $1.4 million median.

South of the river, North Coogee's $1.3 million is significantly more expensive than neighbouring Spearwood's $545,000, Coogee's $860,000 and Hamilton Hill's $554,000.

Realmark managing director John Percudani says suburbs bordering Rossmoyne's $1.1 million's include Bull Creek's $765,000 and Willetton's $772,000.

North of the river, coastal suburbs either side of Waterman’s Bay's $1.46 million median include North Beach's $950,000 and Marmion's $925,000.

Percudani explained to the local paper there was good reason for the differential in some areas, but maintained there was excellent value in certain suburbs adjacent to their more expensive neighbours.

He said buyers were becoming more focused on extracting value and less fixated on postcodes.