It’s been a while since we published an update on the state of the housing market here in Oz so I thought I’d use the focus of our first article for 2014 to do just that.
To begin with, by way of context, it’s worth mentioning that data released by the Australian Bureau of Statistics showed that the national population of Australia increased by 407,027 persons over the 12 months to June 2013.
This increase equates to a growth rate of 1.79% over the year making it the most rapid rate of population growth since December 2009.
This increase in population has had a compound effect on the average house prices here in Australia.
Data obtained from the property information and analytics firm RPdata has identified that the average annual increase in house prices across Australian capital city represents an aggregate rise of 9.8% to $540,000 AUD.
Put another way, based on today’s exchange rates, the average house price in Australia is now approx. £128,000 more than the average cost of a house in the UK (currently sitting at £167,354) or $204,000 USD more than the average cost of a house in the United States (based on an average of $280,000 across all states as of March 2013). A lot of money in anyone’s book!!
Before panic sets in and you’re left wondering how the heck you’ll be able to afford to own your own home here in Australia, it’s worth noting that this is an ‘average’ increase across all of Australia’s capital cities which tend to be the more expensive areas to live anyway.
On the lower end of the scale for example, Adelaide house prices raised by an average of only $2.8% whilst on the high end, house prices in Sydney rose by 14.5% to an eye watering $655,250
The full listing of the average cost of Australian real estate by capital city can be found below:
- Sydney rose 14.5% to $655,250
- Perth rose 9.9% to $520,000
- Melbourne rose 8.5% to $563,000
- Brisbane rose 5.1% to $445,250
- Darwin rose 3.3% to $540,000
- Canberra rose 3.5% to $530,000
- Adelaide rose 2.8% to $386,000
- Hobart rose 2.2% to $330,000
Perhaps now may be a better time to rent?