October 2024 Property update. “Australian property market reaches $11 trillion as national price growth slows.” CoreLogic Australia
Our Sydney and Northern Beaches Property Specialist Cameron Porter, from Porter House Buyers Agency, has unpacked the latest data from CoreLogic Australia in a YouTube Video for THE EXPATRIATE Community. Here are the key takeaways;
The Australian residential property market reached a record $11 Trillion in September.
The annual pace of growth has slowed to 6.7% for the past 12 months, down from the high of 9.7% in the 12 months to March.
Sydney, Brisbane, Adelaide, and Perth dwelling values are currently high. Perth had the highest monthly, quarterly, and annual dwelling value increase, while Adelaide has overtaken Brisbane as the second-strongest capital city market nationally.
In September, Sydney increased by 0.2%, Brisbane by 0.9%, and Perth by 1.6%. Melbourne is continuing to fall.
We are also seeing an increase in listings coming to market in spring, but they are also higher than in the same period last year, with the national number up 2.1%.
Annual growth in rent values slowed to 6.8% nationally, down from a recent high of 8.5% over the year to April. This compressed yields further, with the gross rental yield at 3.68% nationally.
Dwelling approvals are down further, which will strain the property market.
The Reserve Bank of Australia (RBA) has held interest rates. While many predicted interest rates would fall in late 2024, the consensus among economists is that interest rates will not fall until 2025 or even 2026 due to underlying inflation still above the RBA’s target range.
Lending is increasing, with Investor lending up 1.4% month over month and owner-occupier lending rising by 0.7%; however, I see more first-time buyers purchasing an investment property rather than an owner-occupier property due to affordability issues where they desire to live.
I expect the market to continue rising for the remainder of the year, so if you are considering a property purchase, please get in touch with me. If you’d like to learn more, please feel free to read my Bio.
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