2014 national residential price growth 7.9%, but slowing: CoreLogic RP Data

The annual rate of combined capital city home value growth across Australia slowed to 7.9% in December 2014, according to CoreLogic RP Data.

There was a 9.8% increase during the 2013 calendar year. The national residential median currently sits at $575,000.

The Core Logic RP Data Home Value Index showed that the annual rate of combined capital city home value growth peaked at 11.5% over the 12 months to April 2014.

“We would anticipate that the rate of growth will continue to slow through 2015 despite the low interest rate environment,” according to CoreLogic's Cameron Kusher.

Over the final quarter of 2014, capital city home values increased by 1.6%, with Perth (+2.8%), Sydney (+2.3%) and Brisbane (+1.8%) recording the greatest quarterly gains, while values fell in Darwin (-1.7%) and Canberra (-3.4%). 

The capital gain on houses compared to units was higher, with house values gaining 8.4% over the calendar year compared with a 5.1% increase in unit values, given there hasn’t been the same ramp up in building approvals for detached housing compared as with multi unit dwelling approvals.

Based on the median price across the combined capital cities, houses are attracting a $100,000 premium over apartments.

The national rate of growth has varied between a fall of -0.6% in Canberra to an increase of 12.4% in Sydney, followed by Melbourne at 7.6%. 

Source: CoreLogic RP Data.