The first month of spring has seen an increase in listing activity as well as another interest rate cut by the RBA to a record low 0.75%.
But despite home loan interest rates being at their lowest level since the 1950’s and price drops in most real estate markets across Australia over the past couple of years, buyers aren’t rushing back just yet.
According to the latest research by Core Logic, the total number of home sales across Australia has fallen by 17% over the past year. Current sales levels are 30% below the peaks of September 2015, and listings are down 21% year-on-year.
Nationally, median sales prices have fallen by 5.2% over the past year and markets in all Australian capital cities have recorded decreases except for Canberra and Hobart. The largest price falls have been in Darwin, followed by Melbourne, Perth and Sydney. However, falling prices and the 11% depreciation of the Australian dollar against the yuan during 2019 is making Australian property prices more attractive for Chinese buyers. According to Chinese property portal Juwai, Australia is currently the number one international property preference for Chinese buyers.
Download and read the full Market Essentials – October 2019 Report.