Housing values in regional Australia continue to edge higher, according to the latest CoreLogic hedonic home value index.
In January, the combined values Australia’s regional property markets increased by 0.2% in January. The combined regional markets have now recorded a stronger monthly change in values relative to Australia’s capital cities over each of the past four months.
Regional New South Wales produced the highest rate of annual capital gains at 6.8%, according to CoreLogic.
Regional Tasmania maintained its healthy upward trajectory due to the ripple effect stemming from Hobart, where property values are growing by 12.4% annually.
In Queensland and South Australia, regional markets moved into growth territory too over the three months ending January. This result is the first positive quarterly shift in dwelling values since May 2017 for both state’s regional areas.
A rally in commodity prices is attracting buyer activity to regional South Australian towns such as Roxby Downs, Whyalla, Port Lincoln, as well as Port Augusta, which stands to benefit from the construction of nearby Oz Minerals’ Carrapanteena copper and gold mine, noted Craig Sumison, Principal, Raine & Horne Roxby Downs. Copper prices, for example, are up by about 20% over the past 12 months. “The Olympic Dam Mine that contains a mix of uranium oxide, copper, gold and silver is undergoing expansion and maintenance work, which will contribute to more mining specialists moving to nearby Roxby Downs,” said Mr Sumison.