New figures show that Australian property prices fell in the second quarter of 2018, with price falls in the country’s two largest cities particularly steep.
The latest Australian Bureau of Statistics (ABS) data shows that residential property prices in Australia fell by 0.7 per cent between March and June. Prices in Sydney were down by 1.2 per cent – the fourth consecutive quarter of falling property prices in the city – while in Melbourne prices fell by 0.8 per cent; the second consecutive quarter of declines.
“The initial slowdown in these markets was spurred by regulatory changes and a tightening in the supply of credit to investors,” explained ABS Chief Economist Bruce Hockman. “A drop in investor demand over recent months appears to be adding to the slowing in housing credit growth. The effect of this is more pronounced in the larger property markets of Sydney and Melbourne.”
Over the past year in Australia, property prices have fallen by 0.6 per cent.
According to the ABS figures, during this period the total value of Australia’s 10 million residential dwellings has decreased by AUS$13.3 billion to AUS$6.9 trillion.
The current mean price of a property in Australia is AUS$686,200.
Article published 20th September 2018