House prices in Australia’s three biggest cities recovered in October after a flat month.
Sydney, Melbourne and Brisbane drove a one per cent increase in average capital city prices, following a weak 0.1 per cent rise in September, the RP Data Core Logic Home Value Index showed.
RP Data research director Tim Lawless said property price falls in October in every other major city showed housing market conditions were slowing outside of the most populated centres.
“Looking at the increase in home values over the 12 months to October, it is clear that the rate of capital growth is continuing to moderate,” he said.
National house prices rose by 8.9 per cent in the year to October, with all capital cities posting increases.
Perth, Hobart, Darwin and Canberra actually fell in the three months to the end of October, with the West Australian and national capitals past the peak in their growth cycles, Mr Lawless said.
Sydney had Australia’s highest median price of $680,000 in October followed by Melbourne ($555,000), Darwin ($550,000), Perth ($525,000), Canberra ($510,000), Brisbane ($442,000), Adelaide ($395,000) and Hobart ($315,000).
Auction clearance rates continue to hover at 70 per cent.
The news is less rosy for investors, with weekly rents rising by 1.8 per cent during the past year, marking the slowest annual capital city growth since August 2003.
CAPITAL CITY HOUSE PRICES IN OCTOBER:
* Melbourne, up 1.9 pct
* Sydney, up 1.3 pct
* Brisbane, up 0.6 pct
* Perth, down 0.1 pct
* Darwin, down 0.4 pct
* Adelaide, down 1.1 pct
* Canberra, down 2.3 pct
* Hobart, down 2.4 pct
CAPITAL CITY HOUSE PRICES IN THE YEAR TO OCTOBER:
* Sydney, up 13.1 pct
* Melbourne, up 8.9 pct
* Brisbane, up 5.6 pct
* Darwin, up 5 pct
* Hobart, up 4.4 pct
* Adelaide, up 4.3 pct
* Perth, up 3.4 pct
* Canberra, up 0.9 per cent
Source: RP Data