Login
iscover
Standing the test of time, Sydney and Melbourne are the best-performing council areas for median house price growth over the past two decades, new CoreLogic research has revealed.
While the property data shows a strong growth rate overall, the results vary dramatically between the states and territories and within different regions.
CoreLogic research analyst Cameron Kusher said that over the 20 years to December 2016, median selling prices of houses nationally increased at a compound annual rate of 7.2 per cent.
“This indicates that on average, property prices have doubled over ten years,” Mr Kusher said.
“The results [also show] prices in Sydney and Melbourne have outstripped those of the rest of the country. In Sydney, in particular, this has occurred despite the fact that prices generally fell between 2003 and 2009.”
The research also shows that none of the 25 council areas that have seen the lowest annual increases are situated in a capital city.
Mr Kusher said this is evidence of the divide between the performance of capital cities and regional areas.
“Of interest is that most of these council areas are in regional areas linked to single industries such as mining or agriculture.
“The past, of course, is no indicator of future performance, but the data provides a good insight into the areas which are likely to see stronger price growth in the future.”
Mr Kusher said regions with diverse economies are likely to see higher levels of housing demand.
“Subsequently, these areas also tend to see greater increases in selling prices due to the heightened level of housing demand.”
Best performers snapshot
- Murrumbidgee council area in the New South Wales Riverina. In the last two decades, the median price jumped by 13.0 per cent per annum.
- Isaac, in the coal mining heartland of Queensland’s Bowen Basin, is in second place. Three to four years ago, house prices were substantially higher due to the mining boom. However, they have since fallen -22.4 per cent per annum.
Worst performers snapshot
- Coolgardie council area in WA has a median house price of $87,000 and 0.4 per cent growth per annum in the last 20 years.
- Yilgarn, also in WA, has a $58,000 median house price and 20-year growth of 0.5 per cent.
You are not authorised to post comments.
Comments will undergo moderation before they get published.