According to January figures released by Core Logic, Australian housing values surpassed previous records, setting a new high, as values continue to rise in all of greater capital cities and regional areas.
Housing values continued to rise through the first month of 2021 with CoreLogic’s national home value index up 0.9% over the month.
Housing values have surpassed pre-COVID-19 levels by 1.0%, and the index is 0.7% higher than the previous September 2017 peak.
Capital City Housing Values.
Every capital city and broad rest-of-state region recorded a rise in housing values over the month, ranging from a 2.3% surge across Darwin to a relatively mild 0.4% rise in Sydney and Melbourne.
As Australia continues to manage both the economic, and health response to the COVID-19 pandemic; the ongoing trend the nation continues to see is the story of regional markets outperforming their capital city counterparts.
Regional Housing Values.
Combined regional housing values continue to outperform the country’s capital cities, releasing more than triple the growth compared to the city markets in the past 12 months.
Regional house values soared to new heights, realising 7.9% growth in the 12 months to January 2021; whilst capital city values experienced a modest increase of 1.7% over the same period.
Regional NSW home values are rising at a rapid pace revealing the growing trend for regional markets across the country with values experiencing strong growth in the past 12 months realising a 9.5% increase in price.
Half of the increase in property prices was achieved in the previous 3 months alone seeing a whopping 4.7% increase in regional NSW home values.
According to Core Logic’s research director, Tim Lawless:
“Better housing affordability, an opportunity for a lifestyle upgrade, and lower density housing options are other factors that might be contributing to this trend, along with the newfound popularity of remote working arrangements.”
CoreLogic’s change in dwelling values table below clearly illustrates the growing demand for regional housing across the country, with the combined regional markets grossly outperforming the capital cities of Australia.
Disclaimer: When considering purchasing a property, it’s always prudent to seek the advice of an appropriately qualified professional to determine which strategy is most appropriate for your circumstance.