Property price growth soars in Sydney and Melbourne

Thursday, 02 July 2015 | by Nick Bendel

It scarcely seems possible, but Australia’s two largest markets are only getting hotter.

Sydney’s median house price reached $900,000 at the end of June after growing 17.8 per cent over the year, according to new statistics from CoreLogic RP Data.

That compared to a growth rate of 16.4 per cent in May.

Sydney’s median unit price rose 9.5 per cent to $650,000 after rising 8.8 per cent the month before.

Melbourne’s median house price hit $615,000, after growth increased from 9.8 per cent to 11.2 per cent.

The median unit price is now $480,000, although growth slipped from 2.9 per cent to 2.4 per cent.

CoreLogic RP Data head of research Tim Lawless said the February and May interest rate cuts have contributed to these accelerated capital gains, after price growth moderated between April 2014 and January 2015.

“With the RBA cutting the cash rate in February, there was an instant buyer reaction across the Sydney and Melbourne housing markets where auction clearance rates surged back to levels not seen since 2009,” Mr Lawless said.

“Capital gains once again accelerated and we are now seeing Sydney and Melbourne homes selling in record time: Sydney homes are selling in just 26 days and Melbourne homes in 32 days.”

Mr Lawless said strong economic conditions and migration rates have also driven price growth in Australia’s two biggest cities.

Meanwhile, CoreLogic RP Data figures show that Adelaide has replaced Brisbane as Australia’s number three market.

Source & see more: www.rebonline.com.au

Are you thinking to buy property in Sydney or Melbourne? Contact Oak Laurel, who have mortgage brokers in Sydney and mortgage brokers in Melbourne.

The post Property price growth soars in Sydney and Melbourne appeared first on Positive Connections.

from Positive Connections http://ift.tt/1M0MlPJ