Australian residential property values have experienced a 4.9% increase since February, contributing approximately $34,000 to the average dwelling’s value. CoreLogic’s national home value index, released on Friday, reflects a consistent upward trend for the sixth consecutive month, with a 0.8% rise in August.
All major cities, except Hobart (-0.1%), witnessed an increase in dwelling values during the month.
Diverse home value trends in Australian cities
The most significant gains were observed in Brisbane, with a 1.5% increase, followed by Sydney and Adelaide, where home values rose by 1.1%.
Tim Lawless, CoreLogic’s research director, noted varying trends in different cities, with Sydney leading the recovery with an 8.8% increase in values since January.
Brisbane also experienced a robust recovery, with values up by 6.2% since February.
In contrast, some cities, such as Hobart, have seen stable home values, while Canberra’s values have risen modestly by 1% since April.
Higher supply levels in Hobart and Canberra compared to the previous year have contributed to the stability of property values in these cities.
House values across capital cities have risen by 6.3% since reaching their lowest point in February, while unit values have increased by 4.9%.
However, non-capital city regions in New South Wales (-0.2%) and Victoria (-0.6%) experienced declines in values over the month.
Several markets on the Gold Coast and Sunshine Coast were among the top 10 for the largest capital gains over the three months ending in August.
The Reserve Bank of Australia (RBA) is expected to maintain the current interest rate of 4.1% during its upcoming board meeting. This decision comes after lower-than-expected monthly inflation data.