Which capital city had the fastest home value growth?

Adam Smith 4 April 2016

Which capital city had the fastest home value growth

While the rate of capital gains for home values has slowed over the past year, one capital city has remained resilient.

Capital city home values saw a slight lift in March, rising 0.2% to bring values 1.6% higher over the first quarter of the year, new research from CoreLogic RP Data shows. In spite of the rise, however, the annual rate of house price growth has slowed to its lowest point in 31 months.

Source: CoreLogic RP Data

CoreLogic RP Data head of research Tim Lawless said the rate of growth stood in contrast to the first quarter of last year.

“The March quarter rise in capital city dwelling values is in stark contrast to the first quarter of 2015, when values increased by 3.0 per cent, which is almost double the current pace of quarterly growth. However, compared with the final quarter of 2015, when capital city dwelling values were down 1.4 per cent, the housing market has shown a modest rebound in growth which is well below the strong capital gains recorded over the first half of 2015,” Lawless said.

Lawless said dwelling values across the capital cities rose by 6.4% over the past 12 months. While no capital city recorded an annual growth rate in the double digits, Melbourne has proven the most resilient, with dwelling values growing by 9.8% over the past year.

In contrast, Perth and Darwin were the only two capitals where home values trended lower on an annual basis, with Perth down 2% and Darwin down 1.8%. The Sydney market showed the most pronounced slowing of capital growth, with annual dwelling value growth more than halving to 7.4% from a high of 18.4% in July of last year.

“The annual pace of home value appreciation across Australia’s capital cities highlights the slowing growth trend,” Lawless said.

Ask a Question

You are about to post a question on finder.com.au

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com.au is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Disclaimer: At finder.com.au we provide factual information and general advice. Before you make any decision about a product read the Product Disclosure Statement and consider your own circumstances to decide whether it is appropriate for you.
Rates and fees mentioned in comments are correct at the time of publication.
By submitting this question you agree to the finder.com.au privacy policy, receive follow up emails related to finder.com.au and to create a user account where further replies to your questions will be sent.

Ask a question