Sydney March quarter price moderation, but still far stronger than every other capital city: APM
The Sydney house price growth momentum might have actually faded in the March quarter, but it still retains the mantle of highest price growth with weak performances among many of the other capital city housing markets.
Some 6196 properties were reported as sold at auction so far this year in Sydney totalling $6.78 billion with an average $1,094,000 sale price.
But Australian Property Monitors has Sydney house and unit prices recording their lowest rates of growth since March last year.
Sydney’s median house price increased by 3.1% over the March quarter and although this is a solid result, it is nonetheless well down from the December quarter rate of 5.1%. The Sydney unit market also faded over March with prices increasing by 2.6% - again short of the 3.7% recorded during the three months to December 2013.
Dr Andrew Wilson, the senior economist at APM, noted despite the declining trend in prices growth, Sydney was the best performer of the state capitals over the March quarter.
Sydney's record house price was up 16.9% over the past year to $782,973 with the median unit price also at a record of $547,053.
Melbourne's median house price increased by 2.8% over the quarter to be 11.7% higher annually, exceeding $600,000 for the first time at $604,110.
Melbourne unit median increased by just 0.2% in the March quarter to $419,702.
Dr Wilson noted Brisbane's rate of growth was a modest 0.9%, with Brisbane house prices increasing now for the seven consecutive quarter, though its median house price remains just below its previous June 2010 price peak. Annuall Brisbane house prices increased by 6.0% while unit prices increased by just 0.5%.
Adelaide’s modest housing market revival continued with the median house price increasing by 1.3% over the quarter, contributing to an increase of 4.1% for the year. Adelaide unit prices, however, fell by 1.2% over the quarter.
At $611,410, Perth’s median house price remained flat over the March quarter but this was up 8.4% over the year. Perth unit prices were down by 1.4% over the quarter, though its median unit prices were up by 5.4% annually.
Dr Wilson said the Canberra housing market remained subdued with the median house price falling by 2.6%over the March quarter and its median unit price up by just 0.2%.
Hobart house prices weakened over the March quarter falling by 2.5% with prices however increasing by 3.2% over the year.
Darwin’s median house price fell by 1.6% over the March quarter - the city’s weakest quarterly performance since June 2012. Darwin unit prices, however, increased by 2.1%. House prices are now 3.9% higher than a year ago with unit prices up by 2.7%.
APM March quarter data put the national median house price at $614,348, up 2% over the quarter, the lowest rate of quarterly growth recorded in the past year and nearly half of that recorded in the December quarter.
Dr Andrew Wilson, the senior economist at APM, said the varying capital city results reflected the disparity of the multi-speed recovery profile of the current growth cycle.
The national median unit price increased by 1.3% over the three months to March, again the weakest quarterly result for a year.