Sydney finished the month as the most expensive capital city with a medium dwelling price of $805,000.
While Sydney and Melbourne recorded the strongest growth conditions, the annual rate of capital gains has also moved into double-digit growth in both Hobart (+10.2%) and Canberra (+12.8%).
Rental conditions have shown a subtle improvement across most cities but yields slip to new record lows in Sydney and Melbourne.
While some rental markets have recently seen a rise in the pace of rental growth, generally, the trend in rental appreciation remained soft in comparison with the rate of capital gains; growth in dwelling values is substantially outpacing rental growth in Sydney and Melbourne and gross rental yields have again slipped to record lows in these cities.
Homes are selling in approximately 30 days across Sydney and Melbourne, while discounting rates are well below 5.0% in these markets as well.
Over the past 12 months, New South Wales and Victoria have accounted for just over two-thirds of the nation’s population growth.
The long-term average suggests a normal share of population growth in these two states is about 51%.
So, strong population growth is a significant contributor to the housing demand.
The past five years have seen this New South Wales and Victoria comprise about three-quarters of the national number of jobs being created as well.
The long-term average is substantially lower at about 55%.