It is understood the man was the driver of a vehicle that collided with an unmarked police car in a cul-de-sac.
Neighbours say they heard a loud bang before several police cars raced into the street.
Students at nearby Cecil Andrews College were moved to areas within the school furthest away from the incident and a text message sent to parents reassuring them their children were safe.
Police have not yet revealed details of what led to the shooting.
The man is in a stable condition in Royal Perth Hospital.
Relatives of the injured man say he had been at the home visiting his children.