The winter selling market certainly doesn’t seem to have slowed down the Australian property market, with figures from the CoreLogic RP Data Home August Value Index showing strong combined growth for our capital cities, albeit with some variations from city to city.
As expected, Sydney was the leader of the pack, with dwelling values up by 1.1% in August, well above the national average of 0.3%.
Sydney wasn’t the only city to see property price growth. Adelaide and Darwin recorded growth of 0.7% and 0.3% respectively and while Melbourne and Brisbane were flat for August, they saw strong growth for the last quarter.
In fact, Melbourne saw the strongest quarterly growth to August, with dwelling values up by 8%, just ahead of Sydney at 7.4%.
According to CoreLogic RP Data head of research Tim Lawless the quarterly figures show how strong the Australian property market has been performing, with a combined capital city growth rate of 5.3%. However there is no denying that Sydney has seen unparalleled growth over the last few years.
“Sydney dwelling values are 17.6% higher over the past year, and since the beginning of 2009, Australia’s largest capital city housing market has recorded a cumulative capital gain of 76%,” Lawless says.
“Using the median house price from January 2009 as a base, the typical Sydney home owner has seen the value of their home increase by approximately $309,000 since the beginning of 2009.”
A few more interesting notes from the CoreLogic RP Data Home August Value Index:
- Units outperformed detached houses in August with a rise in value of 0.8% compared with 0.3%.
- The same trend was seen for the quarter, with unit values up 6.7% across the combined capital cities compared with 5.1% for houses.
- The average gross rental yield across Australia’s combined capitals is 3.3%. However, it sits at just 3.1% across in Sydney and Melbourne.
- Darwin was the weakest performing capital city (-0.32%), however Darwin houses experienced the highest rental yield at 5.5% alongside Hobart units, also at 5.5%.
- Sydney was the most expensive city with a median dwelling price of $773,000.
- The most affordable city was Hobart with a median dwelling price of $320,000.
It will be interesting to see how Australia’s capital cities perform over the next 3 months, particularly as listing numbers are likely to increase over for the spring selling period.
If you’re interested to find out how much your home has changed in value over the last few months (or years) then please don’t hesitate to get in touch with one of the team at Arbee Real Estate.