Price growth pinned back, as imminent property bubble concerns popped
The rate of monthly national house price growth slowed during August to 0.5%, according to the latest RP Data-Rismark figures.
The August increase followed a 1.6% increase in July. There was a 1.9% hike in June. May and April showed negative movement.
This slowing in growth will be especially welcomed by the RBA.
The conclusion, if needed, could be that a bubble was not developing in the many Australian housing markets.
"The half a per cent gain over the month of August is a much more sustainable rate of growth and will be a welcome turn of events for policy makers," RP Data research director, Tim Lawless said.
The rolling three-month change in house prices did rise to 4% - the highest level since the three months to April 2010, the last big fillip.
But the choice of greater spring supply has the potential to take the froth off the two toppy markets.
Sydney had a $555,000 dwelling median last December, its now $587,000.
Perth had a $460,000 dwelling median last December, its now $499,500.
Both these cities typically record more ups and downs in their many mini and macro markets than the other more stable capital cities.
RP Data research shows capital city values have increased at a 4.4% annual rate since 2003, as the Sydney market was moving into its last big boom.
Sydney has been the laggard of all capital cities over the subsequent 10 years with the annual rise in values being just 2.5%.
Every other capital city fared better from Canberra's 4.5% growth to Darwin's 9.8%.
