- 15 November 2019
The house price recovery continues!
CBA just reported that national dwelling prices have risen strongly over the past three months. Prices rose by 1.4%in October, 1.0% in September and 1.0% in August
House prices have risen faster than unit prices
Prices nationally now sit 3.7% above their June 2019 trough.
Price rises have been greatest in Sydney and Melbourne over the past three months
The flow of credit is key
The flow of credit (i.e. new lending) has a clear impact on dwelling prices. More specifically, the annual change in the flow of credit has a close leading relationship with the annual change in dwelling prices by around six months.
New lending is driven by the supply and demand for credit. The latest ABS lending data indicates that the flow of housing credit has picked up materially over the past four months.
Over the four months to September, it grew at an annualised pace of 52%!
It has been a broad-based increase across investors and owner-occupiers(including first home buyers).
Property Club is at the forefront of the best properties in the best areas, best placed for this capital growth upswing - make contact with your Property Mentor or hit enquiries@propertyclub.com.au for further information on the great properties available for Club members!
Troy Gunasekera
National Manager
Related Posts
How Roger Galway Turned the ATO into His Side Hustle
When most people think about building wealth, they picture grinding through long hours, promotions, and maybe a few smart stock picks. Roger Galway had a different idea. Two decades ago, he realised the nine-to-five grind wasn’t going to cut it. So he started buying property. Now, he owns nine of them across...
No Storm Surge Here: Brisbane’s Budget Holds Steady for Investors
In the wake of ex-Tropical Cyclone Alfred, which brought Brisbane its wettest day in 50 years with over 420mm of rain in some suburbs and winds reaching up to 60 km/h, the city faced significant recovery challenges. Despite the extensive damage, including power outages affecting over 56,000 homes and businesses,...
Stamp Duty Doesn’t Have to Hurt — Here’s Where It Doesn’t
Stamp duty isn’t the most exciting part of buying property, but it can seriously shape what you can afford and how quickly you can grow your portfolio. A national report by SQM Research for the Real Estate Institute of Australia (Stamp Duty: The Relationship to Australian Housing Affordability and Supply, October...