Capital city home values reach new record high in September 2013

 October 2013
RP Data & Rismark Home Value Index Release

Capital city home values reach new record high in September 2013

Over the month of September, Australia’s capital city dwelling values grew by a further 1.6 per cent, taking the combined capitals index to a new record high driven by strong gains in Sydney and Melbourne.

RP Data and Rismark International today released housing market results for September where the combined capital cities index recorded a 1.6 per cent rise over the month. The latest data release marks what RP Data research director and analyst Tim Lawless has described as a ‘technical’ recovery in the housing market with the RP Data – Rismark Combined Capital City Index moving 0.7 per cent higher than the previous record high which was last recorded back in October 2010. Based on the combined capitals index, capital city dwelling values fell by 7.4 per cent from the October 2010 market peak to the May 2012 trough. Since the beginning of June 2012, capital city dwelling values have increased by 8.7 per cent through to the end of September 2013.

Highlights over the quarter:

• Best performing capital city: Sydney, +5.2 per cent
• Weakest performing capital city: Hobart, -3.0 per cent
• Highest rental yields: Darwin houses with gross rental yield of 6.3 per cent and Darwin units at 6.4 per cent
• Lowest rental yields: Melbourne houses with gross rental yield of 3.5 per cent andMelbourne units at 4.3 per cent
• Most expensive city: Sydney with a median dwelling price of $588,000
• Most affordable city: Hobart with a median dwelling price of $300,000