Which two capital cities bucked the house price trend?
Median house prices have fallen across most of the nation, but two capital cities bucked the trend.
New figures show housing is becoming more affordable as median prices have fallen across the nation.
A new report from Domain shows house prices have eased in every capital city except for Melbourne and Hobart. The group’s March quarter house price report showed national median house prices falling 0.5% for the quarter, with unit prices dropping 1.1%.
The median house price in Sydney dropped below $1 million for the first time in a year, The Australian Financial Review reported. The decline doesn’t represent much relief for first home buyers, though, with Sydney’s median house price still the highest in the nation at $995,804.
The report follows a survey from CoreLogic and TEG Rewards that found two-thirds of Australians believe the country’s housing market is at risk of substantial declines in dwelling values.
Domain chief economist Andrew Wilson told The Australian Financial Review the outlook for house prices remained subdued. He blamed a weakening economy and growing uncertainty for damaging consumer and investment sentiment.
“The national median has now fallen over two consecutive quarters for the first time since June 2011 as the general housing market correction consolidates... it's the sharpest fall we have had,” Wilson said.
Darwin saw the steepest decline, with median house prices falling 4.9%. Hobart, meanwhile, saw the strongest rise at 4.3% for the quarter. The rise for house prices was in sharp contrast to the unit market in Hobart, however, which saw median prices decline by 6.2%.