Perth dwelling prices rise 0.76% in one day!

By Leith van Onselen

I am not sure what’s going on in the Perth housing market at the moment, but today’s RP Data-Rismark home values index for Perth has recorded a whopping o.76% increase in one day! (see below table).

Looks like the housing market is becoming as volatile as the share market.

Comments

  1. This is a good example of how gov is not longer a functional group to look after to people who need shelter. There is no way in hell anyone’s average pay can keep up with price movements like this.

    I would suggest anyone who wants a home to vote out the people who sell out and restrict affordable housing.

    • Well, try organise a rally and see how you go. I tried once but it didn’t work. No-one cares but I would definitely attend. An end to negative gearing would be a great start.

    • <2% fluctuation over the past 12 months.

      The daily 'index' really gets shown up in low volume cities like Perth. Compare the jagged line in the back series for Perth to the line for a Melbourne or Sydney.

      Flip a coin long enough and chances are you do get prices breaking out every so often.

      In any case, concluding a breaking out changes depending on the timescale over which you perform your analysis.

  2. I suspect it has to do with the data collection method, and not the market itself.

    It self corrects later, but the daily data although indicative is not completely robust.

    For a laugh you could try comparing it to the daily iron ore price to see if there is a corealation.

  3. I could see it being the result of higher end properties coming on to the market as folks who can move elect to sell before the crash.

    Trend is more important than one days data.