Sydney House Prices Drop Nearly 2% In 4 Weeks
Property prices are dropping at the fastest rate in more than 40 years.
< 1 min
The effects of the interest rate hikes are being acutely felt in Sydney, with the median house price slumping 1.9% in the past four weeks according to data from CoreLogic. The decline represents the fastest dip in more than 40 years.
Sydney is not alone, with Melbourne prices also falling sharply, down 1.2%, while Brisbane dropped by 0.6%. Across the country, prices have dropped by 1.2% during the same period.
Since prices in Sydney peaked in mid-February, the housing market has fallen by 4.8%. Melbourne’s prices peaked in March and have seen a 3% drop since then.
Both cities are now recording a faster decline than the price drop of 2017 according to Tim Lawless, CoreLogic’s research director.
“Six months ago I would have been surprised at the pace of decline that we are seeing now, but considering the worsening outlook for interest rates, plummeting consumer sentiment and the impact of such high inflation on household balance sheets, the more rapid than expected rate of decline isn’t all that surprising,” Mr Lawless said.
During the 2017 to 2019 property market downturn, Sydney’s housing values were down by 2.6% over the same number of days since peaking and Melbourne was just 0.8% lower than its peak comparatively.
“The reality is housing price declines are gathering momentum, and it’s likely the decline phase will worsen before it gets better,” said Mr Lawless.
“As more cities and regions start to record falling housing values, this will feed into larger reductions in the national, combined capitals and combined regionals index.”
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual
The construction sector is roaring back to life in some Australian states while others languish in the doldrums
< 1 min
The home building market is on the rebound as building approvals rise, new data reveals.
Information from the Australian Bureau of Statistics shows that the total number of dwellings approved in August was up 7 percent seasonally adjusted, with apartments leading the way.
Private sector house approvals gained 5.8 percent in August while private sector residences excluding houses were up 9.4 percent. This follows on from a decrease of 14.6 percent in July and indicates a solid recovery in the Australian construction sector as the end of the year approaches.
Approvals for total dwellings were strongest in the two largest states, with Victoria recording a rise of 22.2 percent and NSW 12.5 percent. Western Australia also saw a significant rise of 12.3 percent.
In Queensland, the results were less positive for the sector, with total dwelling approvals falling by -26.9 percent. Tasmania also experienced a drop in approvals in August, down -10.1 percent and South Australia -6.9 percent.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual
