CoreLogic’s dwelling value results have been released with Australia’s five major capital city markets soaring by 2.8% over the month – the biggest gain since Australia’s bicentenary in October 1988.
The boom in values was broad-based with all major markets experiencing strong rises. However, Sydney’s gain was by far the strongest at 3.68% – the biggest monthly rise since August 1988:
Quarterly value growth at the 5-city level is now running above 5%, with Sydney (6.7%), Melbourne (4.9%), Brisbane (5.3%) and Perth (5.0%) all experiencing rapid appreciation. If this pace was to continue throughout the year, then dwelling values across the five major markets would rise by well over 20% in 2021.
The next chart plots quarterly price growth across the five major markets over time. As you can see, the pace of growth has breached the peaks of previous price cycles:
Annual growth is obviously slower owing to the COVID-19 downturn last year. However, it has also begun to accelerate across all major markets:
The rebound in Australian property values is nothing short of extraordinary with 2021 shaping up to be one of the strongest years for property growth in the nation’s history.