Weekly RP Data house price update

ScreenHunter_03 Apr. 02 11.00

By Leith van Onselen

In the week ended 8 August 2013, the RP Data-Rismark 5-city daily dwelling price index, which covers the five major capital city markets, recorded a 0.35% increase. It was the ninth consecutive weekly rise in values (see next chart).

ScreenHunter_52 Aug. 08 20.56

Gains were recorded in all major capitals, except Adelaide (see next chart).

ScreenHunter_53 Aug. 08 20.57

Values are up 0.42% so far in July, with all major capitals, except Adelaide, recording rises (see next chart).

ScreenHunter_54 Aug. 08 20.59

Since the end of last year, home values have risen by 4.98% at the 5-city level, with all markets except Adelaide experiencing gains (see next chart).

ScreenHunter_55 Aug. 08 21.00

Over the past 12 months, values have risen by 5.18% at the 5-city level, with all major markets except Adelaide experiencing increases (see next chart).

ScreenHunter_56 Aug. 08 21.02

The next chart plots the daily movements on a 14-day moving average, in order to smooth volatility. As you can see, the uptrend continues, driven primarily by strong gains in Perth and Sydney (see next chart).

ScreenHunter_57 Aug. 08 21.03

Values are down 1.0% since peak at the 5-city level, with all major capitals except Sydney and Perth in negative territory (see next chart).

ScreenHunter_58 Aug. 08 21.04

However, major capital home values have now gained 6.9% since bottoming nationally in May 2012, with all capitals rebounding from their respective troughs (see next chart).

ScreenHunter_59 Aug. 08 21.05

Note: readers are advised not to read too much into short-term movements in the RP Data daily index. This index is incredibly volatile and not seasonally adjusted, hence it can give false readings when interpreted over a shorter-term timeframe. There is also evidence suggesting the RP Data daily index is a lagging indicator for the quarterly ABS house price series (see here). Caveat emptor.

[email protected]

www.twitter.com/Leithvo

Comments

  1. Adelaide and Hobart are the first to feel the full agequake and are a good indication of what is to come for the other states.

  2. Depressing to see Perth’s moves in the last year.

    I guess the “change from peak” should be n/a rather than a positive number, by definition?

      • Yeah, I keep an eye on their weekly asking rents page which is showing an interesting downtrend. With the price rises of the last year the yields must be woeful.

  3. Adelaide.. whats wrong with you? Julia Gillard just bought a Million dollar mansion and you go negative??.. come on..

  4. I was told a while ago that SA will slide into genteel poverty – well, this is the slippery slide.