According to today’s CoreLogic Home Value Index, September marked a striking turn in housing market sentiment; consumer confidence increased, new listings rose, and six of the eight capital cities recorded a rise in home values over the month. However, falling values in Melbourne and Sydney, which make up an approximately 40% of Australian’s housing stock by number and 55% by value, pushed the national reading into a fifth straight month of decline.
CoreLogic’s September home value index results showed a 0.1% fall in dwelling values nationally. This was comprised of a 0.2% drop in the combined capitals index and a 0.4% rise in the combined regionals index. Although the national index was down over the month, the 0.1% decline was the smallest since values started to reduce in May this year.
According to CoreLogic head of research, Tim Lawless, Melbourne remains the main drag on the headline results. “By far the weakest result across the capital cities, Melbourne housing values were down 0.9% in September. Since peaking in March, Melbourne values are down 5.5%. With restrictions starting to lift and private home inspections once again permitted, we expect to see activity lift in October.”