Price surge for south-west fibros and northern beaches silvertails sees Sydney sprint away from the rest of the capitals

Price surge for south-west fibros and northern beaches silvertails sees Sydney sprint away from the rest of the capitals
Price surge for south-west fibros and northern beaches silvertails sees Sydney sprint away from the rest of the capitals

A 9% surge so far this year in Sydney's south-west helped the Sydney median house price edge through the $800,000 barrier to an all-time high of $811,837, according to the Australian Property Monitors June quarterly house price report.

Sydney apartment prices outpaced house prices over the June quarter, up by 3.9% to a record high of $573,255, with the northern beaches the strongest region with prices up 9.4% so far this year.

For once there was no great divide between Sydney's so-called Silvertails and Fibros.

Sydney house prices were up almost $118,000 annually, or a $2,200 a week, without the eastern suburbs being on board.

Sydney's overall 3.1% June quarter increase took the 2013-14 financial year house price growth to 17%, well beyond the nearest capital rival Melbourne with a 10% rise in house prices to $607,700.

With a 13.3% annual hike, Sydney apartment prices were up $67,000 annually, or $1,300 a week.

While less than the December 2013 quarter high watermark for Sydney's current growth cycle, Dr Andrew Wilson, the APM senior economist with the Fairfax Media Domain group, said the Sydney housing market remained the "standout" capital city performer with another strong quarterly result.  

The national median house price increased by 1.9% over the quarter, the same result as the previous quarter to $627,940.

The national median unit price recorded a sturdy rise of 2.5% to $473,385 which was higher than the 1.6% increase of the March quarter.

But while Sydney unit prices up 13.3% over the year, the Melbourne apartment market reported just a 0.7% increase over the quarter to be up by 4.0% over the year at $419,639.

Recording eight consecutive quarters of house price growth, the Brisbane housing market continues to gather momentum.

Over the June quarter, the Brisbane median house price increased by 1.5% over the quarter with the Brisbane median house price now at a new record level of $477,352.

Brisbane house prices increased by 6.9% over the year ending June which was the highest annual result for the city in four years. But Brisbane unit growth was no where near as strong.

The weakest apartment market in the country is Canberra.

The significance of the latest data is the increasing return of Sydney being the engine room of Australia's property price growth.

Back in 2003, Sydney's median house price was more than double Perth's, but the price gap narrowed to within 6% during late 2006.

Perth's median was $491,000, in contrast, Sydney's median price at $520,000 in late 2006.

Then around late 2010 Melbourne was fast closing the gap on Sydney as Australia's most expensive city to buy a house, with its median price around $89,000 less.

There is now a $204,000 gap between Sydney and Melbourne, some 25% higher, and a $192,000 gap between Sydney and Perth, some 23% higher. 

Price surge for south-west fibros and northern beaches silvertails sees Sydney sprint away from the rest of the capitals

Source: Australian Property Monitors.

Jonathan Chancellor

Jonathan Chancellor

Jonathan Chancellor is one of Australia's most respected property journalists, having been at the top of the game since the early 1980s. Jonathan co-founded the property industry website Property Observer and has written for national and international publications.

Community Discussion

Be the first one to comment on this article
What would you like to say about this project?