Sydney unit prices up 2% in 2011, but Melbourne unit prices dive 5%: Residex

The Sydney unit market remained resilient in 2011, with prices rising 2.16% over the year to a median of $488,000. The New South Wales capital outperformed the national market, which fell 0.3% to a median $398,000, according to the latest Residex data. 

However, the pace of Sydney unit price growth slowed in the last six months of the year – at the end of June 2011, Sydney unit prices were growing at annualised rate of 4.4%. 

As with its housing market, the decline in Melbourne’s unit prices accelerated significantly in the last half of 2011. 

According to Residex, Melbourne unit prices declined more than 5% over 2011 to a median price of $434,500 – six months ago, the Victorian capital’s unit prices were still growing, albeit at a very modest 0.26%. 

There was some respite in country Victoria, which recorded a small increase in unit prices, with values rising 0.67% for the 2011 calendar year to a median of $258,000. 

Canberra was the only capital city unit market where values picked up in the second half of 2011, rising 2.4% on annualised basis to a median of $432,000 after recording growth of 1.97% at the end of June 2011. 

The federal capital also bucked a trend of declining sales activity and recorded a 23% increase in unit sales over the year, compared with a drop 6.2% nationally. 

Melbourne was the only other market to record an increase, with sales activity rising by just over 1% over the year. 

 Source: Residex

Outside of the major capital cities, Darwin unit prices fell by almost 8% over the course of 2011 to a median of $391, 500. Six months ago Darwin unit prices were down 5.61%.

Outside of urban areas, country unit prices tumbled most notably in country Queensland, where prices fell over 10% to a median of $300,000 and in country Tasmania, where prices fell 9% to $206,000.