Sydney champions residential property price growth

Foreign-investment-in-NSW-may-feed-through-to-Sydneys-booming-economy_157_67043_0_14099660_300Sydney is the city that’s driving residential property prices, according to the Australian Bureau of Statistics (ABS).

The March 2014 Residential Property Price Indexes: Eight Capital Cities was released on May 13 and highlights the strength of the New South Wales capital.

Though it comes as no surprise that Sydney is a key player in both the NSW and Australian property markets, the data will certainly provide some assurance to existing property owners looking to secure a favourable price for property they’re wishing to sell.

Meanwhile, the growth in property prices in Sydney has made the city a hub for investors. Those looking to maximise the potential for capital growth can buy apartments, townhouses or freestanding homes.

Of NSW’s resident population of 7.41 million people at June 2013, almost two-thirds resided in the Greater Sydney area, according the ABS’ Regional Population Growth figures, released last month.

This highlights just how many people are calling the capital home and brings to light the importance of appropriate housing policy to address surging demand for homes.

Increases for Sydney

The latest ABS release demonstrates how popular Sydney has become, with the city exhibiting a 2.3 per cent increase quarter-on-quarter to March in the Residential Property Price Index (RPPI).

Quarterly growth in Sydney has slowed down since 2013’s final quarter, according to Robin Ashburn, director of RPPI.

However, house prices increased 16.6 per cent over the year, while dwelling prices soared by 13.7 per cent, Ms Ashburn noted.

This represents the biggest yearly rise of all cities.

Sydney’s 2.3 per cent quarter-on-quarter increase in residential property prices beat out all the capital cities, with its closest contender being Melbourne (+2.1 per cent). This was followed by Perth, Brisbane, Adelaide, Hobart and Darwin, respectively, which all recorded rises.

Canberra was the single capital city recording a drop in the RPPI, according to Ms Ashburn.

Leave a Reply

Your email address will not be published. Required fields are marked *