The performance of the Australian residential property market improved over the June quarter compared with the previous quarter, according to a report.
The Real Estate Institute of Australia’s (REIA) June quarter Real Estate Market Facts report shows the median price for houses rose by 1.2 per cent to $541,188 while the media price for other dwellings was up 0.5 per cent to $430,230.
“These are the largest increases recorded since the September quarter of 2010,” says REIA acting president Pamela Bennett.
Among the capital cities, the highest median house prices were seen in Canberra, Sydney and Melbourne and the lowest were in Brisbane, Adelaide and Hobart. Melbourne improved the most over the quarter with the median price rising 5.4 per cent to $590,000. The most significant fall was in Darwin with the median price 6.4 per cent lower to $515,000.
Rents for three bedroom houses were unchanged in most capital cities, except Hobart, where median rents fell 8.3 per cent and Darwin, where median rents rose 2.7 per cent.
Rents for two bedroom other dwellings fell in Adelaide, Perth, Hobart and Darwin, were higher in Sydney and Canberra and were unchanged in Melbourne and Brisbane. The median rent for a two bedroom other dwelling in Sydney is $450 per week.
The value of owner-occupier loans rose by 12.8 per cent compared with the previous quarter, and investment loans jumped 19.3 per cent.
“There are signs of some slowing in the pace of global economic growth which may pose some challenges to policy makers to maintain stable economic performance,” says Bennett. “Maintaining cash rates at the current level will provide respite to mortgage holders and stable economic growth.”
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