House values across Australia remained mostly flat in September, with Sydney’s market seeing its first decline in 17 months and Hobart’s continuing to increase.
The data was revealed by property analytics firm CoreLogic, which released its Hedonic Index for September on Monday.
In September, dwelling values increased 0.2% in Australia, 0.3% in combined capitals and 0.1% in combined regional markets. It was the slowest rate of quarter-on-quarter growth since June 2016.
“This slowing in the combined capitals growth trend is heavily influenced by conditions across the Sydney market where capital gains have stalled,” said CoreLogic head of research Tim Lawless.
Dwelling values in Sydney dropped 0.1% in September, representing the first month-on-month decline after 17 months of consecutive capital gains.
Adelaide’s dwelling values recorded zero growth for the month and 0.3% for the quarter. The annual increase in dwelling values was a steady 5%.
Hobart’s redhot market had the best September, confirming it as the best performing housing market in the country. Hobart, which has outperformed both Melbourne and Sydney, recorded a 1.7% increase in dwelling values last month, a 3.4% increase for the quarter and 14.3% for the year.
Melbourne’s dwelling values came in second with +0.9% for the month, +2.0% for the quarter and +12.1% for the year.
“The stronger housing market conditions in Melbourne are supported by auction clearance rates which have consistently remained above 70%,” Lawless noted, comparing Melbourne to Sydney. Additionally, advertised stock levels remain remarkably low and private treaty sales continue to sell rapidly, averaging 30 days on market.”
At the other end of the scale, Perth’s property market has staged a minor comeback and Darwin’s continues to languish.
Perth’s dwelling values were +0.1% for the month, -1.3% for the quarter and –2.9% annually. Meanwhile, Darwin’s dwelling values were –0.7% for the month, -4.0% for the quarter and –4.7% annually, making it the worst performing capital city housing market in the country.