This article is from the Australian Property Journal archive
MELBOURNE has taken the lead for house price growth in Australia’s capital cities, recording a 13.4% increase in asking prices in the year to November.
SQM Research recorded Melbourne’s median price at $805,000, although perennial chart-topper Sydney remains clearly the most expensive market for houses, with a median asking price of $1,193,400, up 4.7%, and unit prices, which increased 4.6% to $666,600.
Melbourne’s strong 5.2% growth in unit prices was bested only by Hobart, which saw prices grow 12.3% in the 12 month period, and house price growth come in second to Melbourne at 9.8%, up to $424,100.
The capital city average returned growth in house prices of 5.9% and 3.4% in unit prices, whilst the markets grew by 2.3% and 0.5% nationally.
Perth and Darwin’s markets continued their declines. Perth’s house and unit prices fell 5.3% and 5.2% respectively, whilst Darwin’s fell 6.0% and 3.9%.
Brisbane and Canberra returned growth in house prices, by 3.0% and 5.6% respectively, but dips in unit prices, by 0.3% and 3.1%.
Modest price growth was seen in Adelaide’s house and unit markets.
“Notably, asking prices for Brisbane units have edged lower over the year and downward pressure could remain on asking prices with emerging signs of oversupply in the city,” SQM Research managing director Louis Christopher said.
“That weakness could extend to Sydney and Melbourne with some oversupply also predicted in 2017 and 2018 there due to high levels of unit construction, particularly in inner-city areas,” Christopher said.
Listings rose in November in all capitals except for Darwin, and by 2.2% nationally to 347,362 new listings, although this is down by 4.2% from 12 months earlier.
Sydney listings were up 2.9% in November but down 3.8% year-on-year. Melbourne listings were up 3.0% in the months but down 10.0% yearly, whilst Hobart’s nation-leading increase of 7.0% in listings in the month masked a 12.6% decline over 12 months.
Brisbane saw a 2.4% increase in listings in November, and a 7.2% jump over the year, to return a total of 30,896, second only to Melbourne at 36,868 and ahead of Sydney’s 27,510.
Perth was the only capital to return higher annual growth, at 9.9%, following a 4.0% rise in November to 27,422.
Adelaide posted a 3.5% rise in the month but a drop of 6.2% over the year, and Darwin a 0.7% drop in the month and 4.2% rise in the year.
Australian Property Journal
