House prices in Sydney fell to their lowest level since the 1990s. (photo by Aussie)
Sydney`s housing market fell to its lowest level since Hawk (Bob Hawke) took power, with house prices down 7.4 percent over the past year. And the national market also fell to a six-year low.
Sydney`s house prices have fallen sharply in the past 12 months, according to the Australian newspaper. The last even steeper fall occurred in the 12 months leading up to February 1990, when it fell 7.9%.
Melbourne home prices fell 4.7 percent over the same period, according to the October house price index by CoreLogic, a property information agency. Property prices across the country have also fallen to their lowest level in six years, making it increasingly difficult for buyers to get mortgages.
In the past 12 months, home prices across the country have fallen in a sign that Laurel (Tim Lawless), head of 3.5%.CoreLogic research, called it "the weakest macro housing market situation since February 2012."
"in the face of such a broad weakening of the housing market, it is clear that the contraction in available credit has dragged down housing demand and, in turn, has affected the performance of house prices in most parts of the country," Lauris said.
In addition to the initial crackdown on lending to investors and high-risk borrowers, markets have been affected by fears that the Royal Commission on Financial Services investigation could trigger a further blow. And three of the big four banks have recently raised interest rates on an irregular basis.
There are also concerns about affordability because Sydney and Melbourne have a large pool of property investors and new supplies have increased.
As a resource-affected market, house prices in Perth, Western Australia, also fell by 3.3 percent a year. Darwin, the Northern Territory, fell 2.9%. But Brisbane is up 0.4% from last year. It can be seen that the performance of the real estate market in remote areas is also different.
