Sydney leads capital city house price growth
By Bianca Dabu
05 May 2021
|
1 minute read
SHARE
After a tumultuous year, most capital cities are now rebounding as vendor confidence continues to improve.
National house asking prices added 2.6 per cent over the last 30 days to 4 May, bringing the average to $671,200, new data from SQM Research revealed.
Across the combined capitals, the average asking price for houses rose by 3.7 per cent to $1,044,400, as property owners responded to talk of a property boom driving prices north.
Zooming in on the capital cities, Sydney was propelled to first place following the highest monthly incline of 6.1 per cent to a median price of $1,497,400.
Asking price spikes run ahead of the market
Share
Sydney house prices could jump higher in the June quarter as vendors lift their asking prices faster than the market is rising and amid a flood of fresh listings.
The latest SQM Research data shows vendor asking prices in Sydney climbed by 6.1 per cent in the rolling four weeks, ending May 4. In the past week alone, asking prices rose by $17,000.
Sydney vendors lifted their asking price by 6 per cent last month despite a surge in new listings amid strong buyer demand.
Anna Kucera
“Property owners have clearly responded to all the talk about a property boom and have aggressively lifted asking house prices over April, particularly in Sydney,” said Louis Christopher, SQM Research managing director.
Investors return as cash flow improves
Share
For two years, Samara Metri watched from the sidelines as she poured money into her business rather than growing her property portfolio. But the rapidly growing market was getting harder to ignore, so the Sydney-based buyer’s agent jumped back in.
“I bought three houses across Adelaide, Brisbane and Sydney in the last two months and I have just exchanged a contract on another in Melbourne.”
“I am also negotiating on a property in Perth, which should come through in the next few weeks.”
Samara Metri is actively buying investment properties, lured by strong cash flow and growth potential.
Making up for lost time: eight out of 10 homes sell
Share
Homebuyers are making up for lost time after the Easter break, smashing reserves and pushing preliminary clearance rates past 80 per cent even as overall auction listings rose across the country.
Nationally, 80.5 per cent of the 2448 homes listed for auction changed hands, a marginally stronger clearance rate from a larger volume of auctions than a week earlier, on CoreLogic’s preliminary results.
The 1950s era brick home at 2 Lambert Street in Cammeray sold for $3.1 million.
In Sydney, the clearance rate hit 84.8 per cent from 913 auctions listed. That result betters the previous week’s preliminary figure of 82.8 per cent from 821 auctions. The final tally was revised down to 81.4 per cent.
INNER CITY RENT STRESS TESTS BANKS
INNER CITY RENT STRESS TESTS BANKS
15 April 2021 6:00AM
Medium density and high rent: the former CommBank branch site in Ivanhoe
In Melbourne and Sydney, it’s a renters market and lending for investment housing is taking off as the epicentre of credit stress in banking. Rents in Melbourne, the worst hit market, are down as much as 16 per cent since the pandemic and the long lockdown hit the city hard.
“Over the year, Melbourne and Sydney unit rents are down substantially, by 12.0 per cent in Melbourne (overall) and 6.5 per cent in Sydney”, SQM Research said in a commentary on the national rental market yesterday.