According to the PropTrack Home Price Index, national property prices rose again for the eighth straight month in August.
Fueled by a housing shortfall and increased overseas migration, cities such as Brisbane, Adelaide and Perth along with regional Queensland and South Australia saw new record high property prices.
In Melbourne, prices rose a modest 0.15% in August while the rest of Victoria declined 0.8%. House prices in Melbourne’s north west rose the most at 1% while unit prices rose 1.5%. Inner Melbourne suburbs recorded some of the country’s strongest rental prices, which is why property investors are showing interest once again.
If you are already a home owner, chances are these rising property values are music to your ears, especially if you are investing, downsizing, borrowing against equity or relocating from the city to regional areas.
But for home owners sitting tight and doing it tough in the face of increased mortgage payments, rising property valuations aren’t necessarily welcome. A higher property valuation means higher council rates, insurances and property-value-based utility costs.
Rising house prices are certainly not welcomed by would-be first home buyers either, who are finding it harder and harder to save the deposit needed to get their foot in the door of any home.
So is there an end in sight?
Some experts suggest that as more properties hit the market this spring and create a better balance between supply and demand, price growth could slow.
Domain predicts a national increase of two to four percent to the end of 2024, but as Melbourne is still experiencing lockdown lag, the growth forecast is a mere zero to two percent for the Melbourne housing market.
Good news for some, not for others. If it suits you to buy in the spring season, make sure you do it with the help of property experts like Chamberlain Property Advocates. See how a buyer advocate can help!
And if you’re thinking of selling, our Vendor Advocacy Service helps sellers achieve outstanding results.
To book a free 20-minute consultation, simply click here and choose a time convenient to you.
