While other capital cities recorded modest growth during the March 2015 quarter, in Sydney the median house price smashed through the $900,000 mark, according to the Domain Group's latest
House Price Report.
"Reflecting the local economic environment and supply and demand drivers, capital cities around Australia recorded mixed results for house and unit price growth over the March quarter," Domain Group Senior Economist Dr Andrew Wilson commented.
Sydney continues to stride ahead, recording another strong quarterly increase of 3.6 per cent over the March quarter, taking the median house price to yet another new record of $914,056. The median unit price also increased by 1.2 per cent to be $609,800.
"Capital city prices growth is likely to track local economic performance with the prospect of lower interest rates now diminishing as early signs continue to emerge of an improvement in national economic activity," Dr Wilson said.
"Sydney will continue to lead the pack in house price growth – clearly ahead of Melbourne, Adelaide, Canberra, Brisbane and Hobart, which are set to continue to record moderate prices growth on the back of improving economies."
Adelaide and Darwin were the only other capital cities to record increases in both house and unit prices over the quarter.
Melbourne and Canberra both saw an increase in the median house price, 2.2 per cent and 1.1 per cent respectively, and fall in unit prices, 0.3 per cent and 3.6 percent respectively.
Brisbane saw falls in house and unit prices over the March quarter. The median house price fell marginally by 0.7 per cent, while units fell sharply by 2.3 per cent.
Hobart saw house price growth weaken with the median falling by 0.6 per cent, while unit prices increased strongly by 5.0 per cent over the quarter.
Do you want to hear what is happening in your local market? You can find out at the REINSW Roadshow. Travelling to 19 locations across NSW, Domain Group Economist Dr Andrew Wilson will provide a market update tailored to each location, with lots of interesting facts and figures specific to your local area.