Property prices in Australia record slowest quarterly growth since June 2016
Property values edged 0.2% higher across Australia in September, led by a 0.3% rise in capital cities and a 0.1% gain across the combined regional markets, the latest index shows. The latest figures take national home prices 0.5% higher over the September quarter, which is the slowest rate of quarter on quarter growth since June 2016, and national values are up 8% over the past 12 months.
Month on month prices fell by 0.1% in Sydney but are still 10.5% up compared to September 2016 and fell 0.7% in Darwin where they are 4.7% down year on year, according to the CoreLogic data.
On a monthly basis prices were up by 1.7% in Hobart, 0.9% in Melbourne, 0.6% in Canberra, 0.3% in Brisbane, 0.1% in Perth and unchanged in Adelaide. Year on year they were up 14.3% in Hobart, 12.1% in Melbourne, 7.8% in Canberra, 5% in Adelaide, and 2.9% in Brisbane while falling by 2.9% in Perth.
According to CoreLogic head of research Tim Lawless, the combined capital city trend growth rate is clearly losing steam with dwelling values rising by 0.7% over the September quarter and well down from the recent peak rate of quarter on quarter growth which was recorded at 3.5% over the December 2016 quarter.
‘This slowing in the combined capitals growth trend is heavily influenced by conditions across the Sydney market where capital gains have stalled,’ said Lawless.
He pointed out that in the third quarter prices in Sydney edged 0.2% higher but this was the slowest quarter since values declined by 2.2% in the first quarter of 2016 and it’s the first month on month decline after 17 months of consistent capital gains.