March House Price Report
House price report March Quarter 2014 Prepared by Australian Property Monitors
apm.com.au | homepriceguide.com.au
House price report Key findings
March Quarter 2014 • The national house price increased by +2.0% over the March quarter to $614,348 but the growth rate was well down on the +3.8% recorded over the previous quarter and the lowest result for a year. • The national median house price increased by +11.3% over the year. • Sydney and Melbourne remain the clear leaders of all the capitals for prices growth over the quarter and the year to March. • All capital cities recorded a softening in the rate of median house price growth over the March quarter with Perth, Hobart, Canberra and Darwin recording flat or falling house prices.
Stratified median prices (quarterly) ($)
Stratified median prices - houses $900k
Houses Mar 2014
Dec 2013
Sep 2013
Mar 2013
QoQ %
YoY %
$800k
Sydney
$782,973
$759,614
$723,023
$669,845
3.1%
16.9%
$700k
Melbourne
$604,110
$587,838
$566,041
$540,747
2.8%
11.7%
Brisbane
$466,980
$462,838
$451,686
$440,451
0.9%
6.0%
Adelaide
$450,444
$444,801
$435,890
$432,570
1.3%
4.1%
Canberra
$557,871
$572,949
$565,990
$566,863
-2.6%
-1.6%
Perth
$611,410
$611,410
$594,194
$563,960
0.0%
8.4%
Hobart
$325,741
$334,202
$317,807
$315,626
-2.5%
3.2%
$300k
Darwin
$675,478
$686,372
$678,528
$650,242
-1.6%
3.9%
$200k
National
$614,348
$602,404
$580,392
$551,757
2.0%
11.3%
Units
$500k $400k
$100k
Sydney Melbourne Brisbane Adelaide Canberra
Perth
Hobart
Stratified median prices - units
$900k
$600k Mar 14
Mar 13
Mar 2014 $800k
Dec 2013
Sep 2013
Mar 2013
QoQ %
YoY %
Sydney
$547,053
$533,278
$516,911
$485,572
2.6%
12.7%
Melbourne
$419,702
$419,031
$406,615
$398,057
0.2%
5.4%
Brisbane
$600k $367,367
$366,846
$367,367
$365,508
0.1%
0.5%
Adelaide
$276,067
$279,454
$278,774
$273,437
-1.2%
1.0%
Canberra
$412,287
$411,319
$411,319
$415,944
0.2%
-0.9%
Perth
$400k $396,853
$402,289
$388,626
$376,689
-1.4%
5.4%
Hobart
$243,996 $255,179 $300k
$243,996
$266,284
-4.4%
-8.4%
Darwin
$429,332
$420,641
$431,427
$417,906
2.1%
2.7%
National
$459,998
$454,038
$442,514
$424,806
1.3%
8.3%
$700k
$500k
$200k
Mar 13
$600k
0
Stratified median prices (quarterly) ($)
Mar 14
Mar 14
Mar 13
$500k
$400k
$300k
$200k
$100k
$100k 0
Sydney Melbourne Brisbane Adelaide Canberra
Perth
Hobart
Darwin
0
Sydney Melbourne Brisbane Adelaide Canberra
Perth
apm.com.au | 1800 817 616
Hobart
D
House price report Median price % change - quarter on quarter
Median price % change - year on year
Sydney
Sydney
Melbourne
Melbourne
Brisbane
Brisbane
Adelaide
Adelaide
Canberra
Canberra
Perth
Perth -3.5
-2.1
-0.7 Houses
0.7
2.1
3.5
-5
Units
0
5 Houses
10
15
20
Units
Capital City Results Sydney
Perth
• House prices rose by +3.1% over the March quarter – a solid result but nonetheless the weakest growth result for the city since March 2013 • Sydney’s median house price growth rate decreased markedly over the March quarter, down from the boom-time results of the December quarter when prices increased by +5.1% • Unit prices rose by +2.6% over the December quarter, following an increase of +3.2% over the December quarter • Sydney’s median house price is a record at $782,973 with the median unit price also a record at $547,053 • Annual house prices have increased by +16.9% with units up by +12.7%
• House prices were flat over the March quarter with unit prices falling by -1.4% • Annual median houses prices for Perth are up solidly by +8.4% with unit prices up by +5.4%
Melbourne • Melbourne house prices rose solidly by +2.8% over the quarter with unit prices recording relatively flat growth at 0.2% • Melbourne house prices have risen by +11.7% over the year ending March with units increasing by +5.4% • The median house price for Melbourne is $604,110 while the median unit price is $419,702
Brisbane • Median house prices continue to recover with a modest increase of +0.9 % over the quarter - the seventh consecutive quarter of house price growth • Annual house prices increased by +6.0% and are now just -1.3% below the previous peak recorded in June 2010 • Brisbane unit prices were flat over the quarter to be up by just +0.5% over the year
Canberra • The volatile Canberra market reported a fall of -2.6% in the median house price over the March quarter, following a rise of +1.2% over the December quarter • Median unit prices rose by 0.2% over the March quarter
Adelaide • The Adelaide market continues to recover modestly with an increase of +1.3% in the median house price recorded over the March quarter • Adelaide house prices rose by +4.1% over the year ending March with unit prices increasing by +1.0% over the same period • The Adelaide median house price remains the lowest of all the mainland capitals at $450,444
Hobart • Hobart’s median house price fell by -2.5% over the March quarter while maintaining a price increase of +3.2% over the year ending March
Darwin • Darwin’s median house price fell by -1.6% over the March quarter with unit prices up by +2.1% • Darwin’s annual median house price and units prices each increased by +3.9 and +2.7% respectively.
apm.com.au | 1800 817 616
House price report Commenting on the APM House Price Report: Dr Andrew Wilson, Senior Economist Australian Property Monitors The Sydney house price boom has faded fast as all capital city housing markets recorded waning house price growth over the March quarter. The national median house price increased by +2.0% over the quarter which is the lowest rate of quarterly growth recorded in the past year and nearly half of that recorded in December. The national median unit price increased by +1.3% over the three months to March, again the weakest quarterly result for a year. Sydney house and unit prices recorded their lowest rates of growth since March last year. Sydney’s median house price increased by +3.1% over the March quarter. Although this is a solid result, it is nonetheless well down from the December quarter result of +5.1%. The Sydney unit market also faded over March with prices increasing by +2.6% - again short of the +3.2% recorded during the three months to December 2013. Despite the declining trend in prices growth, Sydney was the best performer of the state capitals over the March quarter. The median house price has now increased by +16.9% over the past year well ahead of any other capital. The rate of prices growth in the Melbourne market was also down over the March quarter compared to the December result. The median house price increased by +2.8% over the quarter while unit prices recorded marginal growth. Houses prices in Melbourne are +11.7% higher than a year ago with the median house price now exceeding $600,000. Although the rate of growth was a modest +0.9%, Brisbane house prices increased for the seventh consecutive quarter. Despite recording consistent price growth over the past two years, Brisbane’s median house price remains just below its previous price peak of June 2010. Over the year ending March, Brisbane house prices increased by +6.0% while unit prices increased by just +0.5%. Adelaide’s modest housing market revival continues with the median house price increasing by +1.3% over the quarter, contributing to an increase of +4.1% for the year. Adelaide unit prices, however, fell by -1.2% over the quarter.
At $611,410, Perth’s median house price remained flat over the March quarter but nonetheless increased by +8.4% over the year. Despite Perth unit prices falling by -1.4% over the quarter, median unit prices up by +5.4% over the year to March. The Canberra housing market remains subdued with the median house price falling by -2.6% over the March quarter and the median unit price up by +0.2%. Hobart house prices weakened over the March quarter by -2.5% with prices increasing by +3.2% over the year. Darwin’s median house price fell by -1.6% over the March quarter - the city’s worst quarterly performance since June 2012. Darwin unit prices, however, increased by +2.1%. Both house and unit prices are now +3.9% and +2.7% higher than a year ago. Housing market activity has generally weakened over the March quarter with all capitals reporting softening growth rates in median house prices compared to the previous December quarter results. Although growth rates in Sydney and Melbourne have declined sharply over the quarter to produce their worst results in a year, the two cities clearly remain the country’s best performers. Other capital city markets have recorded, at best, modest growth which clearly reflects the disparity of the multi-speed recovery profile of the current growth cycle. Affordability barriers, particularly in the Sydney market, are emerging with the impact of underperforming local economies also acting as an impediment to activity. House price growth is set to continue through 2014 generally although at significantly reduced rates compared to 2013 and with the usual disparity of performance between local markets. The effect of record-low interest rates on housing markets is now dissipating with the December quarter 2013 likely to be the highwater mark in the cycle for growth rates.
About Australian Property Monitors (APM) APM is a leading national supplier of property price information to home buyers and sellers, professional real estate agents, mortgage brokers, valuers, banks and financial markets. APM has been helping our customers make informed decisions about property since 1989. APM monitors residential property activity from a variety of sources including auctions, government and semi-government agencies, real estate advertising, real estate agents and APM’s own researchers. This vast pool of information ensures APM’s databases contain the latest and most detailed house price information available. © Copyright Australian Property Monitors 2014. Any reproduction of or reference to any part of this report must attribute Australian Property Monitors as the source of the report. The APM House Price Series is subject to revision as a result of time lags with the reporting and collection of sales transaction data.
apm.com.au | 1800 817 616 For more information or to arrange an interview, please contact: Georgie Pickett-Heaps, Reservoir Network 02 9955 8000 I 0402 633 806 I [email protected]
apm.com.au | homepriceguide.com.au
House price report Key findings
March Quarter 2014 • The national house price increased by +2.0% over the March quarter to $614,348 but the growth rate was well down on the +3.8% recorded over the previous quarter and the lowest result for a year. • The national median house price increased by +11.3% over the year. • Sydney and Melbourne remain the clear leaders of all the capitals for prices growth over the quarter and the year to March. • All capital cities recorded a softening in the rate of median house price growth over the March quarter with Perth, Hobart, Canberra and Darwin recording flat or falling house prices.
Stratified median prices (quarterly) ($)
Stratified median prices - houses $900k
Houses Mar 2014
Dec 2013
Sep 2013
Mar 2013
QoQ %
YoY %
$800k
Sydney
$782,973
$759,614
$723,023
$669,845
3.1%
16.9%
$700k
Melbourne
$604,110
$587,838
$566,041
$540,747
2.8%
11.7%
Brisbane
$466,980
$462,838
$451,686
$440,451
0.9%
6.0%
Adelaide
$450,444
$444,801
$435,890
$432,570
1.3%
4.1%
Canberra
$557,871
$572,949
$565,990
$566,863
-2.6%
-1.6%
Perth
$611,410
$611,410
$594,194
$563,960
0.0%
8.4%
Hobart
$325,741
$334,202
$317,807
$315,626
-2.5%
3.2%
$300k
Darwin
$675,478
$686,372
$678,528
$650,242
-1.6%
3.9%
$200k
National
$614,348
$602,404
$580,392
$551,757
2.0%
11.3%
Units
$500k $400k
$100k
Sydney Melbourne Brisbane Adelaide Canberra
Perth
Hobart
Stratified median prices - units
$900k
$600k Mar 14
Mar 13
Mar 2014 $800k
Dec 2013
Sep 2013
Mar 2013
QoQ %
YoY %
Sydney
$547,053
$533,278
$516,911
$485,572
2.6%
12.7%
Melbourne
$419,702
$419,031
$406,615
$398,057
0.2%
5.4%
Brisbane
$600k $367,367
$366,846
$367,367
$365,508
0.1%
0.5%
Adelaide
$276,067
$279,454
$278,774
$273,437
-1.2%
1.0%
Canberra
$412,287
$411,319
$411,319
$415,944
0.2%
-0.9%
Perth
$400k $396,853
$402,289
$388,626
$376,689
-1.4%
5.4%
Hobart
$243,996 $255,179 $300k
$243,996
$266,284
-4.4%
-8.4%
Darwin
$429,332
$420,641
$431,427
$417,906
2.1%
2.7%
National
$459,998
$454,038
$442,514
$424,806
1.3%
8.3%
$700k
$500k
$200k
Mar 13
$600k
0
Stratified median prices (quarterly) ($)
Mar 14
Mar 14
Mar 13
$500k
$400k
$300k
$200k
$100k
$100k 0
Sydney Melbourne Brisbane Adelaide Canberra
Perth
Hobart
Darwin
0
Sydney Melbourne Brisbane Adelaide Canberra
Perth
apm.com.au | 1800 817 616
Hobart
D
House price report Median price % change - quarter on quarter
Median price % change - year on year
Sydney
Sydney
Melbourne
Melbourne
Brisbane
Brisbane
Adelaide
Adelaide
Canberra
Canberra
Perth
Perth -3.5
-2.1
-0.7 Houses
0.7
2.1
3.5
-5
Units
0
5 Houses
10
15
20
Units
Capital City Results Sydney
Perth
• House prices rose by +3.1% over the March quarter – a solid result but nonetheless the weakest growth result for the city since March 2013 • Sydney’s median house price growth rate decreased markedly over the March quarter, down from the boom-time results of the December quarter when prices increased by +5.1% • Unit prices rose by +2.6% over the December quarter, following an increase of +3.2% over the December quarter • Sydney’s median house price is a record at $782,973 with the median unit price also a record at $547,053 • Annual house prices have increased by +16.9% with units up by +12.7%
• House prices were flat over the March quarter with unit prices falling by -1.4% • Annual median houses prices for Perth are up solidly by +8.4% with unit prices up by +5.4%
Melbourne • Melbourne house prices rose solidly by +2.8% over the quarter with unit prices recording relatively flat growth at 0.2% • Melbourne house prices have risen by +11.7% over the year ending March with units increasing by +5.4% • The median house price for Melbourne is $604,110 while the median unit price is $419,702
Brisbane • Median house prices continue to recover with a modest increase of +0.9 % over the quarter - the seventh consecutive quarter of house price growth • Annual house prices increased by +6.0% and are now just -1.3% below the previous peak recorded in June 2010 • Brisbane unit prices were flat over the quarter to be up by just +0.5% over the year
Canberra • The volatile Canberra market reported a fall of -2.6% in the median house price over the March quarter, following a rise of +1.2% over the December quarter • Median unit prices rose by 0.2% over the March quarter
Adelaide • The Adelaide market continues to recover modestly with an increase of +1.3% in the median house price recorded over the March quarter • Adelaide house prices rose by +4.1% over the year ending March with unit prices increasing by +1.0% over the same period • The Adelaide median house price remains the lowest of all the mainland capitals at $450,444
Hobart • Hobart’s median house price fell by -2.5% over the March quarter while maintaining a price increase of +3.2% over the year ending March
Darwin • Darwin’s median house price fell by -1.6% over the March quarter with unit prices up by +2.1% • Darwin’s annual median house price and units prices each increased by +3.9 and +2.7% respectively.
apm.com.au | 1800 817 616
House price report Commenting on the APM House Price Report: Dr Andrew Wilson, Senior Economist Australian Property Monitors The Sydney house price boom has faded fast as all capital city housing markets recorded waning house price growth over the March quarter. The national median house price increased by +2.0% over the quarter which is the lowest rate of quarterly growth recorded in the past year and nearly half of that recorded in December. The national median unit price increased by +1.3% over the three months to March, again the weakest quarterly result for a year. Sydney house and unit prices recorded their lowest rates of growth since March last year. Sydney’s median house price increased by +3.1% over the March quarter. Although this is a solid result, it is nonetheless well down from the December quarter result of +5.1%. The Sydney unit market also faded over March with prices increasing by +2.6% - again short of the +3.2% recorded during the three months to December 2013. Despite the declining trend in prices growth, Sydney was the best performer of the state capitals over the March quarter. The median house price has now increased by +16.9% over the past year well ahead of any other capital. The rate of prices growth in the Melbourne market was also down over the March quarter compared to the December result. The median house price increased by +2.8% over the quarter while unit prices recorded marginal growth. Houses prices in Melbourne are +11.7% higher than a year ago with the median house price now exceeding $600,000. Although the rate of growth was a modest +0.9%, Brisbane house prices increased for the seventh consecutive quarter. Despite recording consistent price growth over the past two years, Brisbane’s median house price remains just below its previous price peak of June 2010. Over the year ending March, Brisbane house prices increased by +6.0% while unit prices increased by just +0.5%. Adelaide’s modest housing market revival continues with the median house price increasing by +1.3% over the quarter, contributing to an increase of +4.1% for the year. Adelaide unit prices, however, fell by -1.2% over the quarter.
At $611,410, Perth’s median house price remained flat over the March quarter but nonetheless increased by +8.4% over the year. Despite Perth unit prices falling by -1.4% over the quarter, median unit prices up by +5.4% over the year to March. The Canberra housing market remains subdued with the median house price falling by -2.6% over the March quarter and the median unit price up by +0.2%. Hobart house prices weakened over the March quarter by -2.5% with prices increasing by +3.2% over the year. Darwin’s median house price fell by -1.6% over the March quarter - the city’s worst quarterly performance since June 2012. Darwin unit prices, however, increased by +2.1%. Both house and unit prices are now +3.9% and +2.7% higher than a year ago. Housing market activity has generally weakened over the March quarter with all capitals reporting softening growth rates in median house prices compared to the previous December quarter results. Although growth rates in Sydney and Melbourne have declined sharply over the quarter to produce their worst results in a year, the two cities clearly remain the country’s best performers. Other capital city markets have recorded, at best, modest growth which clearly reflects the disparity of the multi-speed recovery profile of the current growth cycle. Affordability barriers, particularly in the Sydney market, are emerging with the impact of underperforming local economies also acting as an impediment to activity. House price growth is set to continue through 2014 generally although at significantly reduced rates compared to 2013 and with the usual disparity of performance between local markets. The effect of record-low interest rates on housing markets is now dissipating with the December quarter 2013 likely to be the highwater mark in the cycle for growth rates.
About Australian Property Monitors (APM) APM is a leading national supplier of property price information to home buyers and sellers, professional real estate agents, mortgage brokers, valuers, banks and financial markets. APM has been helping our customers make informed decisions about property since 1989. APM monitors residential property activity from a variety of sources including auctions, government and semi-government agencies, real estate advertising, real estate agents and APM’s own researchers. This vast pool of information ensures APM’s databases contain the latest and most detailed house price information available. © Copyright Australian Property Monitors 2014. Any reproduction of or reference to any part of this report must attribute Australian Property Monitors as the source of the report. The APM House Price Series is subject to revision as a result of time lags with the reporting and collection of sales transaction data.
apm.com.au | 1800 817 616 For more information or to arrange an interview, please contact: Georgie Pickett-Heaps, Reservoir Network 02 9955 8000 I 0402 633 806 I [email protected]
