Invest
National home values soar at fastest pace in over 30 years
CoreLogic’s national home value index has recorded its fastest rate of appreciation in over 30 years, with capital cities said to have reclaimed the pole position, having been outpaced by regional markets for months.
National home values soar at fastest pace in over 30 years
CoreLogic’s national home value index has recorded its fastest rate of appreciation in over 30 years, with capital cities said to have reclaimed the pole position, having been outpaced by regional markets for months.
National home values expanded by a further 2.8 per cent in March, the fastest rate of appreciation CoreLogic has recorded since 1988.
While Sydney led the pack for capital gains, with values up 3.7 per cent over the month, each of the capital cities saw their values pick up by at least 1.4 per cent.
Hobart was the runner-up with growth of 3.3 per cent in March, followed by Canberra at 2.8 per cent, and Melbourne and Brisbane equal on 2.4 per cent each.
However, according to CoreLogic, Sydney and Melbourne have a lot to celebrate, having repositioned themselves as growth leaders following several months of trailing behind the smaller capitals.
In fact, Sydney dwelling values are now 2.6 per cent higher than their July 2017 peak, which marks a remarkable recovery considering the 14.9 per cent drop in values through to May 2019 and the further 2.9 per cent fall throughout the COVID downturn.
Similarly, Melbourne housing values have recovered from the 11.1 per cent fall between 2017 and 2019, and the 5.6 per cent drop in values through the worst of the COVID-related downturn to set a new record high in March.
Cities outpace regions
Moreover, for the first time in 12 months, growth in capital city housing values outpaced the regional markets, with CoreLogic’s combined capital cities index rising 2.8 per cent in March compared with the 2.5 per cent gain seen across the regions.
“Housing values in regional areas are 11.4 per cent higher over the past year, demonstrating the earlier stronger growth trend; capital city values are now 4.8 per cent higher on an annual basis with the acceleration in growth evident in March,” CoreLogic’s research director, Tim Lawless, said.
In fact, the only state where the regions continued to excel at a faster pace than the capital city was Victoria. Regional Victoria values were up 2.6 per cent compared with a 2.4 per cent rise across Melbourne.
Quarter-on-quarter
Looking at the quarterly growth data, Sydney smashed another all-time high, with growth hitting 6.7 per cent over the first quarter of the year – the strongest uplift since June/July 2015.
Across the regional markets, gains were highest in NSW, where values were up 2.8 per cent over the month.
But despite Sydney’s impressive performance, it was Hobart that outpaced the crowd with quarterly growth at 7.6 per cent.
Canberra, too, posted strong growth figures at 6.0 per cent, followed by Darwin at 5.4 per cent and Perth at 5 per cent. The city witnessing the least growth was Adelaide, with a slim 3.2 per cent quarterly change.
Overall, nationally, quarterly growth stood at 5.8 per cent, while yearly growth hit 6.2 per cent.
Over the last 12 COVID-ridden months, it was the regions that broadly outpaced the cities, with growth hitting 11.4 per cent, compared with a combined capitals’ figure of 4.8 per cent.
About the author
About the author
Property
Property price growth slows in July, but will this downward trend last?
Despite the impacts of lockdowns on the broader economy, the housing market continued to grow in July, albeit showing signs of an impending slow down, new data has revealed. ...Read more
Property
Millennials believe first home buyers need more support
Australia’s up-and-comers in the housing market say more needs to be done to slow rising house prices. ...Read more
Property
3 in 4 borrowers in trouble are in lockdown: ANZ
Despite offering support, ANZ said freezing home loan repayments will be the last resort, as three in four requests for support stem from NSW. ...Read more
Property
RBA gives APRA’s use of macro tools a tick of approval
Ahead of an expected move to impose tougher lending rules on the banks, the Reserve Bank has looked into previous attempts by APRA to cool the housing market. ...Read more
Property
Federal incentives are driving more first home buyers into the market
While property prices continue to grow, new research suggests that the government’s current crop of first home buyer incentives is having an impact on this segment of the market. ...Read more
Property
Why it now costs 130% more to service a mortgage than 3 decades ago
The lifetime cost of owning a home has increased by over 130 per cent in just three decades, new research has revealed. ...Read more
Property
Using the 30/30/3 rule for home buying during uncertain times
Thinking of buying a home? Uncertain economic times may have you double guessing your purchase, but the 30/30/3 rule can help you make this a reality. ...Read more
Property
Rental yields reach decade high, but not all markets move at the same pace
Changing consumer preferences towards lifestyle destinations and a lack of supply have led to record national price growth, albeit price fluctuations vary region-to-region, fresh figures show. ...Read more
The Olympic effect on property and equity investors; COVID-19 Disaster Payments and super
Listen now
Do lockdowns boost property prices? Are short-sellers levelling the playing field? Did you lodge your tax returns early?
Listen now
Will lockdowns halt the housing boom? Is the metaverse taking over? And the cons of lodging your tax returns early
Listen now
Are you being priced out of the market? Have you got the Tuesday blues? And are you ready for the upcoming super changes?
Listen now
Property
Property price growth slows in July, but will this downward trend last?
Despite the impacts of lockdowns on the broader economy, the housing market continued to grow in July, albeit showing signs of an impending slow down, new data has revealed. ...Read more
Property
Millennials believe first home buyers need more support
Australia’s up-and-comers in the housing market say more needs to be done to slow rising house prices. ...Read more
Property
3 in 4 borrowers in trouble are in lockdown: ANZ
Despite offering support, ANZ said freezing home loan repayments will be the last resort, as three in four requests for support stem from NSW. ...Read more
Property
RBA gives APRA’s use of macro tools a tick of approval
Ahead of an expected move to impose tougher lending rules on the banks, the Reserve Bank has looked into previous attempts by APRA to cool the housing market. ...Read more
Property
Federal incentives are driving more first home buyers into the market
While property prices continue to grow, new research suggests that the government’s current crop of first home buyer incentives is having an impact on this segment of the market. ...Read more
Property
Why it now costs 130% more to service a mortgage than 3 decades ago
The lifetime cost of owning a home has increased by over 130 per cent in just three decades, new research has revealed. ...Read more
Property
Using the 30/30/3 rule for home buying during uncertain times
Thinking of buying a home? Uncertain economic times may have you double guessing your purchase, but the 30/30/3 rule can help you make this a reality. ...Read more
Property
Rental yields reach decade high, but not all markets move at the same pace
Changing consumer preferences towards lifestyle destinations and a lack of supply have led to record national price growth, albeit price fluctuations vary region-to-region, fresh figures show. ...Read more
More articles
Website Notifications
Get notifications in real-time for staying up to date with content that matters to you.
