This article is from the Australian Property Journal archive
NATIONAL house prices reached another new record over April, led by strong levels of growth in the exceptionally tight markets of Perth and Adelaide.
According to the latest data from PropTrack, national dwelling prices rose by 0.23% in April to hit a new record median value of $774,000, reflecting a 6.60% boost from this time last year.
The combined capital markets were up 0.21% to a new peak of $840,000, with prices up 7.19% annually.
“National home prices hit a new record in April, as strong buyer demand has outpaced the rise in new listings this year. While demand remains robust, the pace of price growth is beginning to slow,” said Eleanor Creagh, senior economist at PropTrack.
“The stable interest rate environment has been a driver of confidence among buyers and sellers. Higher than expected inflation in the March quarter has pushed back the expected timing of rate cuts but most expect that the next move for interest rates will be down although the timing remains uncertain.”
The capital cities did bring in diverse results over the month, with both Melbourne and Hobart recording declines of 0.10% and 0.24% respectively. With the cities seeing respective annual changes of 1.10% and -1.98%.
All remaining capitals recorded a price increase in April, even with the pace of growth slowing in most cities.
| Region | Monthly growth (%) – All dwellings | Annual growth (%) – All dwellings | Median value ($) – All dwellings | Change since peak (%) – All dwellings | Peak month – All dwellings | Cumulative growth since pandemic (%) – All dwellings | Monthly growth (%) – Houses | Annual growth (%) – Houses | Median value ($) – Houses | Monthly growth (%) – Units | Annual growth (%) – Units | Median value ($) – Units |
| National | 0.3 | 6.68 | 784,000 | 0 | May 2024 | 42.1 | 0.33 | 6.97 | 851,000 | 0.14 | 5.26 | 648,000 |
| Capital Cities | 0.41 | 7.22 | 851,000 | 0 | May 2024 | 37.6 | 0.46 | 7.66 | 955,000 | 0.21 | 5.22 | 667,000 |
| Regional Areas | 0 | 5.3 | 642,000 | 0 | Apr 2024 | 55.5 | 0.01 | 5.28 | 663,000 | -0.1 | 5.38 | 575,000 |
| Sydney | 0.42 | 7.01 | 1,101,000 | 0 | May 2024 | 37 | 0.48 | 7.65 | 1,413,000 | 0.21 | 4.79 | 812,000 |
| Rest of NSW | 0.16 | 4.74 | 730,000 | 0 | May 2024 | 53.4 | 0.18 | 5.07 | 770,000 | 0 | 2.83 | 604,000 |
| Melbourne | 0.23 | 0.87 | 806,000 | -3.08 | Mar 2022 | 17.5 | 0.29 | 0.99 | 921,000 | -0.14 | 0.15 | 617,000 |
| Rest of Vic. | -0.29 | -1.12 | 588,000 | -4.26 | Apr 2022 | 40.2 | -0.32 | -1.24 | 609,000 | 0.01 | 0.34 | 426,000 |
| Brisbane | 0.67 | 13.69 | 834,000 | 0 | May 2024 | 68 | 0.64 | 13.34 | 930,000 | 0.86 | 15.74 | 632,000 |
| Rest of Qld | -0.05 | 9.95 | 672,000 | -0.05 | Apr 2024 | 69.4 | -0.01 | 10.07 | 691,000 | -0.23 | 9.49 | 639,000 |
| Adelaide | 0.53 | 14.49 | 748,000 | 0 | May 2024 | 68.5 | 0.55 | 14.76 | 798,000 | 0.38 | 12.2 | 577,000 |
| Rest of SA | -0.06 | 11.68 | 443,000 | -0.06 | Apr 2024 | 67.6 | -0.06 | 11.98 | 449,000 | 400,000 | ||
| Perth | 0.73 | 20.58 | 699,000 | 0 | May 2024 | 64.3 | 0.75 | 21.08 | 748,000 | 0.51 | 16.24 | 508,000 |
| Rest of WA | -0.03 | 11.67 | 508,000 | -0.03 | Apr 2024 | 60.2 | -0.04 | 12.3 | 530,000 | 0.1 | 4.76 | 387,000 |
| Hobart | -0.13 | -1.93 | 674,000 | -8.97 | Mar 2022 | 34.9 | -0.11 | -1.9 | 712,000 | -0.25 | -2.04 | 568,000 |
| Rest of Tas. | 0.12 | 1.96 | 506,000 | 0 | May 2024 | 55.8 | 0.14 | 2.01 | 530,000 | -0.05 | 1.38 | 425,000 |
| Darwin | 0.25 | 1.38 | 486,000 | -1.34 | Oct 2013 | 27.4 | 0.43 | 2.15 | 562,000 | -0.24 | -0.71 | 383,000 |
| Rest of NT | -0.18 | -4.9 | 409,000 | -5.92 | Dec 2022 | 8.8 | -0.19 | -5.5 | 446,000 | 333,000 | ||
| ACT | -0.21 | 1.23 | 834,000 | -4.58 | Mar 2022 | 36.9 | -0.28 | 1.65 | 961,000 | 0.08 | -0.31 | 605,000 |
Perth saw the strongest monthly increase at 0.83%, reflecting an annual increase of 20.16%, as supply remains at record lows and continues to significantly overwhelm demand.
Adelaide followed with a 0.55% increase in April and a 13.99% increase for the year, with the comparative affordability the city and low stock levels driving competition.
Home prices were up 0.25% in Sydney, with annual growth at 7.24% and median dwelling value sitting at peak at $1,081,000.
In Brisbane, home prices are sitting 12.82% above levels seen this time last year, after prices increased by 0.23% over the month.
Darwin saw home prices up by 0.17% and annual changes returning to growth with an increase of 0.16%.
In Canberra, home prices were largely stable, up just 0.01% in April but up 2.10% from this time last year.
This month regional areas saw a faster pace of growth that the capital cities, up 0.30% to a new peak of $634,000, reflecting an annual increase of 5.07%.
“Strong population growth, tight rental markets, low unemployment and home equity gains are stimulating housing demand. Meanwhile, the supply side of the housing market has fallen short in responding to substantial demand. Building activity is at decade low levels, exacerbating the housing supply shortage,” added Creagh.
“Despite some easing in population growth, this mismatch between supply and demand is expected to persist in mitigating the downward effects of affordability challenges and a decelerating economy. As a result, prices are expected to remain on the rise in the months ahead.”
