August sees another decline for Perth property market

Stock image.
Stock image.

WHILE the east coast property markets are starting to talk about a recovery from their relatively short-lived downturns, the Perth market recorded yet another decline in August.

According to the latest CoreLogic Home Value index, Perth dwelling values fell 0.5 per cent to $437,558 during the month, down 1.8 per cent over the three months to August and 8.8 per cent over the 12-month period.

They are now 20.6 per cent lower than the previous peak in June 2014.

There was some slightly positive news, head of research Tim Lawless said the three month trend suggested an improvement in the rate of decline.

Perth’s inner, south west, south east and Mandurah regions were among the 10 worst performing capital city regions, down 9.7 per cent, 9.7 per cent, 10. 3 per cent and 10.6 per cent respectively, over the three months to August.

Source: CoreLogic.

Nationally, dwelling values increased by 0.8 per cent over the month, the first monthly increase since October 2017, and were up 0.6 per over the past three months.

Mr Lawless said it was likely buyer demand and confidence were responding to the positive effect of a stable federal government, as well lower interest rates, tax cuts and a subtle easing in credit policy.

Values rose 1.0 per cent across the combined capital cities.

Sydney and Melbourne were among five capital cities to record price increases.

Mr Lawless said it was the third successive month of capital gain in Sydney, Melbourne and Hobart and the second successive month of increases in Brisbane.

“While the ‘recovery trend’ is still early, it does appear that growth trends are gathering some pace, particularly in the largest capital cities,” he said.

Source: CoreLogic.

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