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Home values flatten: RP Data

Home values remained relatively flat last month, according to recent research.

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The latest RP Data Rismark Hedonic Home Value Index showed Australia’s capital city home values recorded a modest increase of 0.4 per cent, following a 1.0 per cent decline the previous month.

RP Data’s research director Tim Lawless said the slowdown was widely anticipated and highlighted the fact that Australia’s housing market has experienced a controlled soft-landing after a resounding recovery during the course of 2009.

“In the period between end 2008 and March 2010, Australian home values rose by 16 per cent. Yet monthly growth rates have declined consistently since the start of the year,” Mr Lawless said.

“RP Data and Rismark expect to see the market track sideways over the second half of the year. There is the possibility of modest gains if mortgage rates remain in check and economic conditions continue to improve.”

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