As housing supply ramps up in spring, we’ve seen property values inch higher nationally, but growth has slowed.
With prices coming down in four capital cities during the September quarter – Melbourne, Canberra, Hobart and Darwin – savvy property hunters will no doubt be on the lookout for a bargain.
And with the flow of new listings coming onto the market tracking 3.2% higher than a year ago nationally, there may be plenty of properties to choose from.
Make sure you get your finance pre-approved with us so that you can dive in with confidence when you do find the property you’re looking for.
Interest rate news
At its latest meeting in September, the Reserve Bank of Australia (RBA) left the cash rate on hold at 4.35 per cent.
All eyes were on the RBA after the US Federal Reserve recently cut interest rates, joining the United Kingdom, Canada, and New Zealand, among others.
But RBA Governor Michele Bullock said inflation in Australia was still above target and was proving to be “sticky”.
“Progress in getting underlying inflation down has slowed and it’s likely to have remained slow in the September quarter,” she said.
“The Board needs to be confident that inflation is moving sustainably towards the target before any decisions are made about a reduction in interest rates.
“We really need to see progress in underlying inflation coming back down toward the target.”
Last month, inflation dived to its lowest rate in three years as government cost-of-living relief and cheaper petrol improved household budgets.
According to the Bureau of Statistics, the monthly Consumer Price Index indicator rose 2.7% in the 12 months to August, down from a 3.5% rise in the 12 months to July.
The next RBA cash rate decision will be announced on November 5, followed by the last one for 2024 on December 10.
To find out how your current home loan compares to others, get in touch today.
Home value movements
National dwelling prices increased 0.4% in the first month of spring, and 1% in the September quarter – the lowest rise in CoreLogic’s national Home Value Index (HVI) over a rolling three-month period since March 2023.
New listings are up this spring – tracking 8.8% higher than the previous five-year average for this time of the year.
“The rise in real estate inventory is a seasonal trend, with spring and early summer one of the busiest periods of the year for selling,” CoreLogic research director Tim Lawless said.
“However, the flow of freshly advertised housing stock hasn’t been this high at this time of the year since 2021.”
Meanwhile, auction clearance rates have cooled to the low 60% range across the capital cities, while homes sold by private treaty are staying on the market longer.
| All dwellings | Auctions | Clearance Rate | Private Sale | Monthly home values change |
|---|---|---|---|---|
| VIC | 247 | 55% | 1200 | ▼ – 0.1% |
| NSW | 1586 | 54% | 1785 | ▲ 0.3% |
| ACT | 137 | 52% | 97 | ▼ – 0.3% |
| QLD | 249 | 38% | 1224 | ▲ 0.9% |
| WA | 11 | 18% | 570 | ▲ 1.6% |
| NT | 1 | -% | 29 | ▲ 0.1% |
| TAS | 2 | -% | 134 | ▼ -0.4% |
| SA | 139 | 73% | 284 | ▲ 1.3% |
* Monthly Home Values figures as of 30 September 2024
* Australian auction results, clearance rates and recent sales for the week ending 29 September 2024
* The clearance rate is preliminary and current as of 10:30 am, 3 October 2024
Conditions are largely favouring buyers at the moment, so if you’re looking to get into the market, now could be a good time to jump in.
Talk to your Altitude Capital Mortgage Broker about your pre-approval and let’s make it happen.
Additional sources
CoreLogic RP Data Daily Home Value Index: Monthly Values
https://www.corelogic.com.au/our-data/auction-results
https://www.realestate.com.au/auction-results/
