Housing & Economic Chart Pack

Housing & Economic Chart Pack
By CoreLogic RP Data

This month's chart pack has been written by the CoreLogic RP Data Research Team. Also included below is a detailed overview on the key findings covered in this month's report.

Download the full chart pack here.

Capital city home values increased by 1.3% in January, are 1.9% higher over the past three months and 8.0% higher over the past year

  • Home values rose over the month in all cities except Adelaide, Perth and Darwin.
  • With home values rising by 1.9% over the past three months, all capital cities except Darwin and Canberra recorded value rises.
  • Capital city home values rose in each capital city except Canberra over the 12 months to January 2015. The greatest increases were recorded in Sydney (13.0%), Melbourne (7.0%), Brisbane (4.6%) and Adelaide (3.1%). Across the remaining capital cities, values rose 2.6% in Perth, increased 3.0% in Hobart, rose by 1.4% in Darwin and fell by -0.3% in Canberra.

Sales activity across the country is slightly higher than at the same time last year but lower than its recent peak

  • Over the 12 months to November 2014 there were 342,813 houses and 131,408 units sold across the country.
  • House sales are 2.3% higher over the year compared to a -4.1% fall in unit sales.

Vendor metrics indicate quite strong housing market conditions

  • Auction volumes are currently very low however, clearance rates trended lower late in 2014 to sit around 60.
  • Discounting levels and days on market are at historic low levels.

New and total listings are lower than at the same time last year

  • New listings are -7.7% lower than a year ago nationally and -5.5% lower across the capital cities.
  • Nationally, total listings are -3.2% lower than a year ago and total listings are -5.1% lower.

Mortgage demand has eased over the Christmas / New Year period

  • The RP Data Mortgage Index (RMI) shows that mortgage demand has eased over the past couple of months.
  • ABS housing finance data shows a similar trend with the market largely driven by upgraders and investors however, their rate of growth is clearly slowing.

Economic data flows remains mixed

  • Population growth is winding down but remains high on an historic basis.
  • Dwelling approvals remain high and on an annual basis are at a record high.
  • With population growth slowing and building approvals remaining high (despite the recent fall) we may see a better relationship between approvals and population growth over the coming years.
  • Consumer sentiment has been weak since the Federal Budget and indicates pessimism continues to outweigh optimism.
  • The unemployment rate has levelled over recent months while full-time job creation has outpaced part-time growth.
  • Official interest rates were reduced by 25 basis points to 2.25% in February.