Total resi dwelling values rose in March quarter

According to the latest Australian Bureau of Statistics (ABS) data, the total value of dwellings in the country rose by $140 billion to $9,874.7 billion this quarter, up from the $9,734.7 billion recorded in the December quarter 2022.

According to the ABS, the total value of residential dwellings rose in all states and territories with the exception of ACT, Northern Territory, and Tasmania. Additionally, $9,487.2 billion of the total value of residential dwellings was owned by households.

Furthermore, the number of residential dwellings in Australia rose by 52,000 to 11,020,300, with the mean price of residential dwellings increasing by $8,500 to $896,000 during the March quarter 2023.

NSW led the mean price of residential dwellings at $1,150,400, followed by ACT at $951,800 and Victoria at $898,300, with the lowest mean price being in the NT at $502,100.

The total value of dwelling stock surpassed $10 trillion for the first time in the March quarter 2022.

National home values rise

CoreLogic’s national Home Value Index (HVI) data for May recorded a third consecutive monthly rise in home values, increasing by 1.2 per cent in May, which was followed by a 0.6 per cent rise in March and a 0.5 per cent rise in April.

Since the lows in January, home values rose 4.8 per cent or a $48,390 increase in the median dwelling value.

According to the HVI Index, Sydney led the recovery trend, recording an increase of 1.8 per cent over the month, marking the capital’s highest monthly gain since September 2021.

CoreLogic research director Tim Lawless said the positive trend is a “symptom of persistently low levels of available housing supply running up against rising housing demand”.

“Advertised listings trended lower through May with roughly 1,800 fewer capital city homes advertised for sale relative to the end of April,” Mr Lawless said.

PropTrack’s Home Price Index also recorded an increase of 0.33 per cent in national home values for the same period, with prices increasing 1.55 per cent from the low point recorded in December 2022.

Australian housing values seemed to have bounced back in recent months following the fastest decline in housing values on record, as a result of a “significant imbalance” between supply and demand, according to Mr Lawless.

He previously stated that the strong rate of growth in housing values was indeed surprising following a rapid decline, however, he deemed it as “probably unsustainable” considering that housing affordability measures remain stretched.

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