CoreLogic’s daily dwelling values index, which tracks price movements across the five main capital city markets, rose by 0.18% in the week ended 27 April.
It was the eight consecutive weekly increase in home values:
Sydney led the price growth, with values rising 0.32% over the week.
Brisbane (+0.20%), Adelaide (+0.13%) and Perth (+0.12%) also recorded value growth, with Melbourne’s values flat over the week:
So far in April, home values have risen by 0.66% at the 5-city aggregate level. Sydney (+1.19%) drove this growth, with values also rising by smaller amounts across each of the other major capitals:
Over the quarter, home values have risen by 1.3% at the 5-city aggregate level, with Sydney values soaring by 2.7%:
In fact, since bottoming on 7 February, dwelling values at the 5-city aggregate level have risen by 1.6%, with Sydney values jumping by 3.0%.
An acute lack of homes for sale, combined with a record tight rental market and unprecedented net overseas migration, has caused a sense of FOMO (“Fear of Missing Out”) across Sydney.
This is illustrated by the sharp rebound in Sydney’s auction clearance rate, which preceded the jump in prices:
With the Reserve Bank of Australia already near the top of its interest rate tightening cycle, and rate cuts likely towards the end of the year, animal spirits and feelings of FOMO are only likely to intensify.
And with it, 2024 is shaping up to be a boom year for Sydney property prices.
