Newspaper article Coffs Coast Advocate (Coffs Harbour, Australia)

Forecast for Real Estate Is Looking Better

Newspaper article Coffs Coast Advocate (Coffs Harbour, Australia)

Forecast for Real Estate Is Looking Better

Article excerpt

CAPITAL city dwelling values were down -0.8% in the month of April following the stability witnessed over the first quarter of 2012, leaving national home values down -0.7% year to date.

Property values across the combined capital cities of Australia showed renewed softness in the latter half of April with dwelling values falling by -0.8% after a stable first quarter. Over the three months ending April 30 the RP Data-Rismark Index has seen values rise by 0.3%. On a year to date basis, dwelling values are now down -0.7%.

Values were down across five of the eight capital cities over the month of April, with Hobart (-2.9%), Melbourne (-1.7%) and Brisbane (-1.3%) recording the largest falls. On a 12 month basis capital city dwelling values have fallen by -4.5% with the weak conditions in Melbourne (-7.0%) and Brisbane (-6.4%) dragging the weighted average down.

RP Data's research director Tim Lawless said that the housing market gains seen throughout February and March, which delivered a flat first quarter result, have now been mostly offset by the -0.8% fall over the month of April.

aOur estimate of transaction volumes to February suggests that the two interest rate cuts in November and December last year are yet to provide a sustained stimulus to the market, with transaction volumes remaining reasonably steady at around 31,000 sales each month. Comparing this with the sales rate through mid 2009 when around 45,000 homes were selling each month, the slowdown in buyer activity becomes quite clear,a he said.

Rismark's managing director Ben Skilbeck said: aThe stability seen in the first quarter continued though mid April before the market declined in the last two weeks of the month. This decline coincided with the considerable interest rate uncertainty introduced by the ANZ Bank increasing its interest rates and the anticipation of the first quarter inflation figures. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.