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Property prices jump in July

Significant price increases in Sydney and Melbourne helped to lift the national median property price, according to new data.

Statistics released by RP Data found dwelling values rose 0.6 per cent across the combined capital cities over the month of July.

Over the three months to the end of July, capital city dwellings have posted an increase of 0.2 per cent.

Dwelling values across the combined capital cities are now down only 0.6 per cent since the start of this year representing a rebound relative to this year’s low point on 30 May when values were 2.2 per cent below the calendar year starting level.

According to RP Data’s research director Tim Lawless, the July results were heavily influenced by improving values across the most expensive capital city markets.

“The July rise was not as broad-based as the June results, with the month-on-month increase primarily being associated with the Sydney and Melbourne markets where dwelling values rose 1.2 per cent and 1.4 per cent respectively. The July result, when viewed together with the positive June result, suggests housing markets may be starting to respond to lower mortgage rates, which according to the RBA’s latest Board meeting minutes are around 50 basis points below their 15-year average,” he said.

Rismark chief executive Ben Skilbeck said there remains significant differences in performance across the nation’s capital cities.

“While both Sydney and Melbourne experienced gains over the month, Adelaide declined 2.5 per cent. On a year to date basis, Sydney values have risen 1.7 per cent while at the other end of the spectrum, Melbourne and Adelaide have experienced declines of 2.7 per cent,” he said.

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