RPData has released its monthly house price results for September and the news is increasingly worrying with the Sydney bonfire spreading to Melbourne (sorry you had to wait like everyone else until today, Leith is having a well deserved week off):
RP Data and Rismark International today released housing market results for September where the combined capital cities index recorded a 1.6 per cent rise over the month.
The latest data release marks what RP Data research director and analyst Tim Lawless has described as a ‘technical’ recovery in the housing market with the RP Data – Rismark Combined Capital City Index moving 0.7 per cent higher than the previous record high which was last recorded back in October 2010. Based on the combined capitals index, capital city dwelling values fell by 7.4 per cent from the October 2010 market peak to the May 2012 trough.
Since the beginning of June 2012, capital city dwelling values have increased by 8.7 per cent through to the end of September 2013.
According to Mr Lawless, the September gains were primarily fuelled by Australia’s two largest housing markets, Sydney and Melbourne, where residential property values in each city were up by more than 2 per cent over the month. “Sydney home values were 2.5 per cent higher over the month and are up 5.2 per cent over the September quarter while Melbourne values have seen a similar 2.4 per cent month-on-month gain and a 5.0 per cent quarterly lift. We haven’t seen market conditions this strong since April 2009 for Sydney and May 2010 for Melbourne,” Mr Lawless said
While Sydney and Melbourne dwelling values powered higher in September, most other capital cities are recording much more subdued housing market conditions. Dwelling values moved lower in Brisbane (-0.3%), Perth (-0.1%), Hobart (-2.0%), Darwin (-2.5%) and Canberra (-0.7%), whilst Adelaide values posted a 1.1 per cent capital gain over the month.
Full release below. Macroprudential now.