Finally some positive news on housing

The housing market has been showing an easing in the rate of decline since February, research shows.

The east coast housing market is showing signs of improvement.

The east coast housing market looks to be finding its feet after a preliminary look at this month’s price gains and falls shows the continuation of month-on-month improvements in a drastic turnaround from the end of last year.

Property researcher CoreLogic’s daily home value index shows that the first 26 days of June saw prices track 0.2 per cent lower across an aggregate of Australia’s five largest capital cities. Melbourne posted a subtle rise of 0.1 per cent while Sydney values have edged 0.1 per cent lower over the month to date. It is a stark contrast to December 2018, when values fell 1.5 per cent and 1.8 per cent respectively in the east coast capitals.

CoreLogic’s head of research Tim Lawless described the gains as “organic”.

“The market had been showing an easing in the rate of decline since February and that’s obviously been continuing month-to-month since then. I think we’ve already seen this trend, which has been quite organic — I mean that it predates any drop in interest rates or stability in the federal government, announcement from APRA,” Mr Lawless said.

“So arguably, the June data would be the first month we do really have an initial reading on how the market’s transitioned post the federal election.

“As we move through winter … if we see this trend continuing, I think that’ll be a reflection that lower interest rates and some stabilisation in credit flows are having a positive impact on market conditions.”

Elsewhere, Brisbane has fallen 0.5 per cent, while Adelaide has dipped 0.6 per cent in June to date. Perth has fallen 0.8 per cent in the first 26 days of the month.