State by state: A May update on Australia’s property markets

PHOTO: Australian property

Nationally housing prices have been falling since mid-2017 and are now 10% down from their peak.

But lately, people are starting to ask: “Are we there yet? How much further property prices likely to fall?”

This current market downturn, which looks like it will end up as the longest and most severe downturn in modern history, is being caused by the constrained ability to access finance, poor consumer confidence and the oversupply of too many of the wrong properties, rather than the typical cause of a market downturn such as economic recession or high interest rates.

However, some green shoots are appearing… so let’s look at the latest graphs and statistics from CoreLogic to get a better idea of what’s happening around our property markets in Australia

CoreLogic report that:

Nationally dwelling values fell for the 18th consecutive month in April 2019, recording a -0.5% decline
Over the month, combined capital city values fell by -0.5% which was the smallest decline since October 2018.
The combined regional markets recorded a -0.3% fall.
Over the past year, national dwelling values have fallen by -7.2% which is their largest annual fall since February 2009.
Combined capital city dwelling values were -8.4% lower over the year and combined regional market values were -2.6% lower.
The number of property transactions is down 14.4% nationally year on year, Adelaide and Darwin were the only cities in which sales volumes rose over the year.