Residential property prices have shown their strongest growth in a year but one capital city grew more than any other, latest figures show.Prices rose 3 per cent in the December quarter, according to Australian Bureau of Statistics figures released on Tuesday.It’s also the first time in six years all capital cities have experienced an annual price rise. Melbourne led the way (3.4 per cent), followed by Sydney (3 per cent) and Brisbane (2.7 per cent).Price hikes were also recorded in Perth (2.9 per cent), Adelaide (2.6 per cent), Canberra (3.4 per cent), Hobart (3.1 per cent) and Darwin (2.2 per cent).ABS statistics head of prices Michelle Marquardt said the rise in property prices was consistent with a range of housing market indicators.“New lending commitments to households, auction clearance rates and days on market all improved during the December quarter,” Ms Marquardt said.
Prices for houses rose 3.9 per cent in Sydney and 3.7 per cent in Melbourne.Meanwhile, prices for attached dwellings – including flats, units, apartments and semi-detached, row and terrace houses – jumped 1.4 per cent in Sydney and 2.5 per cent in Melbourne.Annually, residential property prices rose 3.6 per cent.”
This is the first time that all capital cities have seen an annual rise since the December quarter 2014,” Ms Marquardt said. The largest rise in property prices annually was in Hobart (6.4 per cent), followed by Canberra (5.2 per cent) and Perth (4.2 per cent).
The numbers of residential property sales also increased in all capital cities during 2020 except Hobart and Melbourne, which has endured months of COVID-19 lockdown.“The strongest increases were observed in Perth, Canberra, Sydney and Brisbane,” Ms Marquardt said.
The total value of Australia’s 10.6 million residential dwellings rose by $257.9bn to $7.7bn in the December quarter.
The average price of residential dwellings in Australia rose $21,300 and is now $728,500.
NSW is still the most expensive place in the country to live, with the average price of residential dwellings at $939,700.
Victoria trails with an average price of $785,000, followed by the Australian Capital Territory ($757,000).
The Northern Territory is the cheapest state or territory to live, with an average price of $429,400.