Property prices up $52,600

Property prices around Australia grew at record-breaking speeds in the June quarter, according to new data released this week by the Australian Bureau of Statistics (ABS).

The figures show that residential prices rose 6.7 per cent in the June quarter 2021, the strongest quarterly growth since the Residential Property Price Index series began in 2003.

All capital cities recorded a lift in prices in the quarter, at rates not seen in many years:

- Canberra (up 8.2 per cent) and Hobart (up 6.3 per cent) saw their largest quarterly rise since 2003;
- Sydney (up 8.1 per cent) recorded its largest rise since June quarter 2015;
- Melbourne (up 6.1 per cent), biggest since December quarter 2009;
- Brisbane (up 5.7 per cent) and Adelaide (5.3 per cent) since 2007.

ABS Head of Prices Statistics Michelle Marquardt said the continued growth in property prices was occurring at a time of record low interest rates.

“Persistently low levels of stock on the market were being met with strong demand and properties transacting at an increasingly rapid rate", she suggested.

House price rises generally outpaced apartments and units, with growth driven by the upper segments of the market. The combined capital cities saw house prices rise 7.7 per cent, while attached dwelling prices rose 4.3 per cent.

The total value of Australia’s 10.7 million residential dwellings rose by $596.4 billion to $8,924.6 billion in the June quarter 2021, the largest quarterly rise on record.

The mean price of residential dwellings in Australia rose by $52,600 to $835,700. At $1,093,100 NSW remained the highest in the country, with the ACT ($891,700) now the second highest, marginally ahead of Victoria ($891,500).