The Australian property market continues to rebound hard out of the COVID-19 pandemic.
Following a 2.6% decline in dwelling values across the five major capital city markets between 15 March (the unofficial start of the pandemic) and 13 October 2020 (the bottom), values have since risen by 15.9% across the combined five major capital city markets.
Accordingly, dwelling values across the same five major markets are now sitting 12.9% above their pre-COVID level, according to CoreLogic.
Below is a chart tracking dwelling value changes across Australia’s five major markets since the beginning of the pandemic to 31 July 2021:
Below are the key price changes across each major capital city market.
Sydney dwelling values initially fell 2.1%, bottoming on 13 October 2020.
Since then, Sydney values have rebounded a whopping 19.3% to be 16.7% higher than the pre-COVID level on 15 March 2020.
Melbourne dwelling values initially fell very sharply, declining 5.9% to 18 October 2020.
Values have since rebounded strongly, rising 13.2% to be 6.6% higher than the pre-COVID level.
Brisbane only experienced a moderate 0.3% decline in dwelling values, bottoming on 16 August 2020.
Since then, Brisbane values have surged 17.6% to be 17.2% above their pre-COVID level.
Perth values initially declined 2.0%, bottoming on 22 August 2020.
Perth values have risen 11.2% from their low to be 8.9% above their pre-COVID level.
Adelaide dwelling values did not suffer any decline during the initial stages of the COVID pandemic. Instead, values have risen 16.7% from their pre-COVID level on 15 March 2020.
What makes this housing boom so remarkable is that it is almost universal. All capital city markets, in addition to nearly every state region, have experienced strong price rebounds out of COVID (data to end-July 2021):
This is the first synchronised housing boom since the early 2000s, which followed the deregulation of the financial system and the sharp reduction in mortgage rates.