CAPITAL city dwelling prices nationally surged at their highest quarterly rate in decade, according to the Real Estate Institute of Australia, as Sydney’s median house price going beyond an eye-watering $1.3 million.
The REIA’s Real Estate Market Facts report found that the weighted average capital city median price increased by 6.8% for houses and by 2.7% for other dwellings over the March quarter.
The weighted average median house price for the eight capitals hit $873,911, with all cities bar Canberra increases.
Sydney median house price remains comfortably the highest, at $1,309,195, at 49.8% higher than the national average. Perth, at $500,000, is the lowest, and 42.8% below the average.
Over the 12 months to the March quarter, the weighted average capital city median house price increased by 11.1%.
For other dwellings, such as apartments and townhouses, the weighted average median price across the capitals increased to $621,313, a quarterly increase of 2.7%.
The median price grew for other dwellings in Sydney, Melbourne, Perth, Hobart and Darwin, was steady in Brisbane and Canberra, and decreased in Adelaide.
Over the 12 months to the March quarter, category increased by 3.0%.
REIA president, Adrian Kelly said the growth coincides with the April data for lending to households and business from the Australian Bureau of Statistics that show that the value of new loan commitments for housing rose for the second consecutive month after a brief fall in February, which came after eight consecutive months of growth.
Meanwhile, the median rent for three-bedroom houses increased in all capital cities over the March quarter to a median of $452.50 per week.
Median rent increased in all capital cities over the past 12 months, except Melbourne where it remained steady. Darwin had the highest annual growth at 17.3%, and now has the second highest rent at $538.50 a week, with Canberra the highest at $570 per week.
For two bedroom apartments and townhouses, the median rent increased in Brisbane, Adelaide, Perth, Canberra, Hobart and Darwin over the quarter, while remaining steady in Melbourne and slipping in Sydney.
Perth had the largest rise over the quarter, at 8.3%.
In the 12 months to the March quarter, the median rent for 2-bedroom other dwellings increased in Brisbane, Adelaide, Perth, Canberra, Hobart and Darwin but decreased in Sydney and Melbourne.
The national capital city vacancy rate is at 3.3%, primarily up due to Melbourne’s rate of 6.1%.