Housing Market | State by State

The latest CoreLogic RP Data Property Capital Markets report has been released and reveals some interesting information about the Australian property market. The Australian economy has continued to grow over the past year, however, the rate of economic growth has slowed over recent years as investment in the resources sector has moderated.

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Key Highlights

• Australia’s housing market has broadly been in an upswing since 2012
• From the lowest point during the GFC (December 2008) to January 2015 combined capital city home values have increased by 37.9%
• Across the combined capital cities the houses that sold over the 12 months to December 2014 were owned for an average of 10.5 years
• Costal & lifestyle markets are gradually recovering from previously soft conditions
• Markets associated with mining and resources sector have softened substantially
• Home values across the combined capital cities have increased by 8 per cent over the 12 months to January
• While units may not have a history of outperforming houses, they tend to see higher rental yields as well as having a lower purchase price achieved vs detached houses
• Sydney house prices have achieved a higher level of growth than units by 3.9 per cent
• While low mortgage levels are creating further market stimulus, there is likely to be some counter balance coming from a decline in housing affordability, weaker rental yields and tighter lending conditions as federal regulators step up their vigilance on lending standards
• The rate of economic growth in Australia has slowed over recent years as investment in the resources sector has moderated
• Canberra was the only capital city in which home values fell over the year, down 0.3 per cent

Download the full report here

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