Dwelling prices rise for fourth consecutive month in April: CoreLogic RP Data

Dwelling prices rise for fourth consecutive month in April: CoreLogic RP Data
Dwelling prices rise for fourth consecutive month in April: CoreLogic RP Data

The pace of capital gains rebounded from the relatively flat numbers recorded in March, with dwelling values increasing by an average of 1.7 percent across the CoreLogic RP Data combined capitals’ index.

The latest figures now take the combined capital city dwelling values measure 3.3 percent higher over the first four months of 2016.

Across the country, housing market trends remain mixed, however, CoreLogic RP Data research director Tim Lawless noted that the improvement in the rate of capital gains has been ‘broad-based’ during 2016 with every capital city except Perth recording a lift in dwelling values over the calendar year to date.

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Dwelling prices rise for fourth consecutive month in April: CoreLogic RP Data

“The results show value growth moved at a faster pace compared with the final three months of 2015 when capital city dwelling values slid 1.4 per cent lower off the back of weaker market conditions in Sydney and Melbourne.

“While we’ve seen capital gains moderate substantially after peaking last year in Sydney and Melbourne, dwelling values continue to trend higher, just not as fast.

"The annual rate of growth in Sydney peaked at 18.4 percent in July last year and has since moderated back to slightly less than half the peak rate of growth, at 8.9 percent over the most recent twelve month period,” Mr Lawless said.

Melbourne’s housing market continues to show a level of resilience to a slowing trend, however the annual growth rate has fallen from a recent peak of 14.2 percent to the current annual growth rate of 10.1 percent; Melbourne was the only capital city to see double digit growth over the past twelve months.

Perth and Darwin remain as the only two capital city markets to experience a decline in home values over the past twelve months, with Perth values down 2.1 percent and Darwin values 3.7 percent lower.

“With recent month-on-month increases in home values in these two cities, the declining trend rate is now levelling.

"This may be an early sign that these markets are beginning to find their cyclical trough after more than a year of annual declines.”

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Dwelling prices rise for fourth consecutive month in April: CoreLogic RP Data

Over the current growth cycle, which commenced broadly in June 2012, capital city dwelling values have moved 34.4 percent higher, led by a 52.7 per cent rise in Sydney home values, and a 37.1 percent lift in Melbourne values.

Brisbane experienced the third highest rate of dwelling value growth over the growth cycle to date; dwelling values in the city are now up 18 percent. 

Jonathan Chancellor

Jonathan Chancellor

Jonathan Chancellor is one of our authors. Jonathan has been writing about property since the early 1980s and is editor-at-large of Property Observer.

Tags: 
House Prices Residential Market

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