Australians lucky enough to own property typically earned $59,000 during the last financial year.
This came as prices for homes and units together rose 8 percent to $793,883, new data from CoreLogic showed.
This marked a big turnaround from a 2 per cent drop in 2022-23, when the Reserve Bank was aggressively raising rates.
CoreLogic research director Tim Lawless said the housing shortage meant house prices were likely to continue to rise, despite interest rates being at a 12-year high of 4.35 per cent.
“Until supply and demand rebalance, there is likely to be further upward pressure on home values,” he said.
‘A material increase in the supply of new homes is likely to be a long time coming, considering approvals remain well below average and barriers to construction including compressed profit margins and tight labor supply , remain significant’.
AMP chief economist Shane Oliver said house prices would likely rise by 5 per cent in 2023-24 unless interest rate cuts were delayed.
“We expect house prices to rise by around 5 per cent this financial year as the supply shortfall continues, but the removal of interest rate cuts and the possibility of further rate hikes along with the rising unemployment trend pose a key constraint and downside risk,” he said.
Australians lucky enough to own property typically earned $59,000 over the last financial year (file image)
Surprisingly, apartment values had some of the biggest increases in the year to June, but only in Brisbane and Adelaide, where median unit prices were even stronger than those of houses.
“House price increases are likely to remain widely divergent, although strength in Perth, Brisbane and Adelaide is likely to continue, helped in part for now by interstate migration, but weakness in other cities, particularly in Melbourne,” Dr Oliver said.
Brisbane’s median unit price rose 18.8 per cent to $622,567, while the city’s median house price rose 15.2 per cent to $953,028.
The median apartment price in Adelaide rose 18 per cent to $530,514, compared to a 15.1 per cent rise in house values to $824,669.
Perth was Australia’s strongest market with house prices up 23.7 per cent to $791,926.
In another strange development, Australia’s two largest cities saw only moderate price growth despite receiving the largest influx of foreign migrants (pictured: a sold sign in Sydney).
In another strange development, Australia’s two largest cities saw only modest price growth despite receiving the largest influx of foreign migrants.
Sydney’s median house price over the year rose 6.8 per cent to $1.466 million, while Melbourne’s midpoint rose just 1.2 per cent to $948,879.
Australia’s smaller capital markets posted weaker growth.
House prices in Darwin rose 3.1 per cent to $589,166, while Canberra values rose 3.2 per cent to $986,414.
Hobart house prices fell 0.3 per cent to $691,339.
