RP Data: Dwelling values increase in Sydney and Melbourne
RP Data and Rismark International have released their latest Home Index Value report for October, highlighting the increased strength of Sydney and Melbourne's real estate markets - which could be great news for anyone considering selling a house in the near future.
The report highlighted the nationwide growth of dwelling values in capital cities, which increased by 1.3 per cent during October, and 7.9 per cent over the last 12 months. Furthermore, this value represents the fastest pace of index growth in three years.
Cameron Kusher, senior analyst for RP Data, indicated that exponential growth in Sydney and Melbourne were the two main causes for the large increase in values during the last 12 months.
"Sydney home values increased by 2.4 per cent in October and increased by 5.5 per cent over the past three months while in Melbourne, home values increased by 1.2 per cent in October and recorded an increase of 3.8 per cent over the past three months," said Mr Kusher in a November 1 release.
"For the first 10 months of this year, Sydney and Melbourne house values have performed very strongly achieving growth of 13.4 per cent and 8.7 per cent, respectively."
The annual growth for Sydney and Melbourne has been recorded at 11.6 per cent and 7.8 per cent, respectively. Furthermore, Sydney's median house price has risen to a huge $610,000, while Melbourne's market is performing exceedingly well with a median price of $538,000.
For anyone considering selling their residential property in the near future, this market progress could be great news. With property values increasing, securing a decent return on your real estate investment is becoming more viable as the market strengthens.
Further evidence of the great real estate conditions can be seen in recent sales figures, as demand begins to grow. According to the report, over the three months to August 2013, capital city home sales were 20.1 per cent higher than the same time last year.
The number of homes up for sale also reduced by 12 per cent over the last year. A marked improvement has been seen in the amount of time properties are spending on the market, with capital city homes dropping from 56 days before a sale down to 44.
Now could be the best time to sell your property and take advantage of the strong real estate market developing in the capital cities - especially if you own property in Sydney or Melbourne.