Property values have ignored the traditional winter slow down
PERTH property prices fell slightly in last quarter according to latest data, bucking growth trends in Sydney and Melbourne.
SOUTHERN capitals are continuing to drive the property market with Sydney and Melbourne continuing to record growth in values.
The latest RP Data Hedonic Index has revealed that Canberra recorded the strongest growth in the country with values up 2.1 per cent for the quarter.
Sydney was close behind with growth of 2 per cent and Melbourne was up 1.8 per cent.
The Darwin recorded a 0.8 per cent increase, while the rest of the capitals suffered losses.
Adelaide values dropped the most significantly by 2.6 per cent, Hobart was down 1.2 per cent, Brisbane 0.4 per cent and Perth 0.1 per cent.
RP Data research director Tim Lawless says the results were good considering seasonal factors which would usually come into play.
“Sydney and Melbourne I would have thought those markets would have slowed down in the growth rates by now, considering affordability constraints and new supply levels and the very low yield environment but that hasn’t been the case,’’ he says.
“In saying that the quarterly growth of rate has been trending lower, I think those markets moved through peak growth probably late last year, but still very resilient to a more significant slow down.’’
Mr Lawless says the big test for the market will be the start of the traditional spring selling season.
“We expect to see a lot of listings hit the market place, buyer demand isn’t ramping up like it used to, so that seems to have levelled out as well but at reasonably high levels.’’
Mr Lawless says it will be interested to see how well new stock is absorbed.
season.
He was a little surprised that Brisbane values had dropped during the month and the quarter.
“I still think it is a good market to watch, it hasn’t really done too much yet, I think it is still a market that has strong fundamentals and has potential to start improving in terms of capital gain,’’ he says.