Price stability a positive in Spring 2024
It seems that the Reserve Bank’s efforts to put a brake on the Australian economy through the continuation of the imposition of the current interest rate regime has brought a higher level of stability to property prices across the country.
Whilst some homeowners may feel happy in an environment where property prices continue to rise steadily, I think most homebuyers would be happy to see an increased level of price stability in the property market. When you consider that most home sellers also become homebuyers as a result of their sale, I think that means that the large majority of us will be happy to see an increased degree of predictability in home prices.
The latest Home Value Index data from Corelogic indicates that property prices across Australia are, indeed, stabilising. They suggest that dwelling prices increased by a modest 0.4 per cent nationally in September, adding to the 0.3 per cent rises recorded in July and August. In fact, the September quarter saw a slight drop in four of the eight capital city markets, indicating that property prices are clearly taking a steadying breather as we head into Spring.
Another indication of the slight slow down in the market, due mainly to the long awaited increase in overall listing numbers, was the average time taken to sell. The median time on market in the September quarter was 32 days nationally. This compares with 29 days in the June quarter and 27 days during the comparable quarter in 2023.
Perhaps the most interesting statistic of all in the latest numbers, particularly for those in the northern corridor of Melbourne is that properties in the lower price brackets are continuing to outperform those at the top end of the market. For example, over the past twelve months, property values in the lower quartile have increased by 12.4 per cent. In contrast, values in the upper quartile have risen by just 3.8 per cent!
Of course, as I often say in these posts, it’s important to keep in mind that these figures are indicative of general trends across the market, not specific properties. So if you are thinking of making a move in 2024, and would like to know what your specific property could achieve in the current market, you can get an up-to-date market analysis from our team at Barry Plant Thomastown by giving us a call this week on 9466 3233.
In the meantime, enjoy the rest of your week.
Cheers,
Con Constantinou
Barry Plant Thomastown