House prices rise 21% in a year

PHOTO: Photo: Dom Thomas

The government and Reserve Bank‘s efforts to slow house price growth are yet to have an impact.

The latest QV House Price Index data shows the market hit a new high in April, with the average national value up 8.9 percent over the previous three-month period.

The national average value was $913,209, representing a year-on-year increase of 21.4 percent, compared with last month’s 18.2 percent rise.

“We’re hearing a range of anecdotal evidence of investors disappearing from auction rooms and even a decrease in first-home buyer presence,” QV general manager David Nagel said.

“And while less properties may be selling under the hammer, the majority are still being sold at prices that are at least as strong as before the tax announcements were made at the end of March.”