Home prices fall again

Posted: 1 March 2018 9:41 am
News

house graphHome values have now fallen for five consecutive months.

The CoreLogic Home Value Index for February has revealed a 0.1% decline for national dwelling values, bringing home values 0.8% lower since their peak in September of last year.

Home values fell across every capital city except Hobart and Adelaide. Darwin saw the largest monthly decline at 0.9%, followed by Sydney at 0.6%.

Regional home values have remained resilient, posting a 0.4% rise, compared to a 0.3% decline for combined capital city home values.

The result saw Sydney home values fall into negative annual territory for the first time since 2012. Sydney prices are now down 0.5% for the year.

Cheaper homes means more first home buyers

There was a bright spot in the figures, with rental yields beginning to rise from record lows in Sydney and Melbourne.

"With rental rates climbing at a time when dwelling values are falling, the result is that gross rental yields are starting to repair after a long period of yield compression. In fact, at a national level yields have not been as high as they currently are in 11 months," CoreLogic research head Tim Lawless said.

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