The two-degree interest rate for Australian banks (RBA) has led to an increase in housing prices in the two cities in August. (reestate site, the Realtestate picture)
Australian (RBA) cut interest rates twice, causing house prices to rise in August, combined with Australian media reports.
It is reported that with the arrival of the spring sales season in the housing market, Melbourne`s median house price rose in more than two years in August. The city`s median house price rose 1.4 percent to A $626703 in August, the third month in a row and the biggest monthly increase since mid-2017, according to (Hedonic Home Value Index), the latest house value index by CoreLogic, a housing research firm. At the same time, overall house prices in Australia rose for the first time since October 2017.
Independent home prices in Sydney rose 1.5 per cent in August, according to CoreLogic`s monthly report. The increase in the past three months has been 1.6%. In the same month, Melbourne`s independent home price rose 1.3 percent to A $716542. It has risen 1.6% in the past three months.
The prices of units in the two major cities have also risen. Sydney rose 1.8% in August and 2.5% in the past three months. Melbourne rose 1.5% in August and 2.4% in the past three months.
In addition to the two major cities, overall house prices in Canberra and Hobart rose in August, up 1.1 per cent and 0.8 per cent respectively. But Darwin slipped 1.6 per cent, with the city down 11.1 per cent in the past year. Perth fell 0.6 per cent in August, Adelaide fell 0.3 per cent and Brisbane remained steady.
In August, Australia`s overall house price increased by 0.8% to $521,157. The overall housing price in the state-run city has increased by 1 per cent to $597,072.
Lauris (Tim Lawless), director of research at CoreLogic, said prices rose the most in the expensive market, rising 1.9 percent in the past three months, while prices in the most affordable markets fell 0.4 percent. He said buyers had taken advantage of Australian Reserve Bank`s recent interest rate cuts and government`s personal income tax cuts to pick up demand and confidence in the housing market, which was the main driver of higher house prices.
It is reported that more than half of the sub-areas of 46 state capitals in Australia have seen house prices rise in the past three months, with prices falling on the coast of central alone in Sydney. In Melbourne, house prices rose in all sub-regions, with the biggest increases in areas close to the centre of the city.
Although the housing market has improved in the past quarter, house prices in the two major markets have fallen over the past year. Since August last year, house prices in Sydney have fallen 7.7 percent and Melbourne 8.7 percent.
Of these, house prices fell 11.3% in southwestern Sydney, the biggest drop in Australia. The southeastern part of Ryder (Ryde), Perth in Sydney, (Mandurah), in Western Australia, all showed double-digit declines. The biggest drop in house prices in Victoria was a 9.9% drop in (Mornington Peninsula), on the Monington Peninsula.
