Pete Wargent blogspot

CEO AllenWargent Property Buyers, & WargentAdvisory (institutional). 6 x finance author.

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Saturday, 29 August 2015

Residex: "Astonishing" Sydney boom accelerates

Residex released its data and property market update to 31 July here which showed house growth over the quarter accelerate to "an astonishing" 7.6 per cent to be 21.2 per cent higher over the year.

As the below Residex graphic shows capital growth in Sydney has continued to outstrip by far that seen in other capital cities where average growth for the quarter was under 1 per cent.

Sydney median house prices have now blasted well past $1 million at $1,017,500

Regional house price growth was relatively soft across all states and territories on this index. 

Sydney unit prices also recorded very strong 6.6 per cent quarterly growth to be 15.2 per cent higher over the year.

Residex has also recorded very strong growth in rents for houses and units over the past twelve months.

On the other hand median prices contracted in resources capitals Perth and Darwin over the past year.

These Residex updates are well worth a read.

Discussed in this newsletter is how the increasing population density of Sydney may have contributed to outperforming capital growth.

Residex considers that strong captial growth in Sydney could continue for the next few quarters before stabilising at a high level.