Home buyers can’t borrow as much money, but owners are pushing ahead with plans to sell now, and new figures show the fallout.
Home values have slowed due to high interest rates and stretched affordability, down 0.4 per cent in Melbourne and up only 0.3 per cent in Sydney in July.
Melbourne home values fell 0.9 per cent over the past three months, and its median dwelling value is likely to be overtaken by Adelaide in the coming weeks. “There are more people looking to sell than this time last year, and demand is only just trending above that at the national level. So the result is continued growth, but the pace of that growth is going to be slowing down.”Melbourne bucked the trend, edging lower for a fourth consecutive month with more sellers than buyers, she said.
“Investor activity has been pretty subdued, but that could be tied to the weak capital growth. Additional levies may be spooking investors as well.” The areas that are growing quickly are the cheapest such as Canterbury, Mount Druitt, and Fairfield, she said.Owen said high interest rates, high land prices and high construction costs were also making it a challenge to build more new homes.
Westpac senior economist Matthew Hassan said housing affordability in both Sydney and Melbourne was becoming stretched, which restrains how fast they could keep rising.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Dramatic arrest after woman’s body found in Ipswich homePolice are searching a dam west of Brisbane following the suspected murder of a woman in Ipswich.
Read more »
Home buyers urged to apply for Australian Home Guarantee Scheme that could save them thousands7NEWS brings you the latest local news from Australia and around the world. Stay up to date with all of the breaking sport, politics, entertainment, finance, weather and business headlines. Today's news, live updates & all the latest breaking stories from 7NEWS.
Read more »
Breaking down Tom Pidcock’s dramatic charge to mountain-biking glory in ParisA puncture left Team GB’s reigning champion needing a miracle. That is exactly what he produced
Read more »
‘Most incredible moment of my life’: Fox joins Aussie gold rush after dramatic finalOlympics: Australia has had a mixed day in the water as the Hockeyroos open their olympic campaign with a win against South Africa.
Read more »
Olympic roundup: Argentina fight back to beat Iraq, Ukraine earn dramatic winArgentina recovered from their chaotic loss to Morocco with a 3-1 win over Iraq, while 10-man Ukraine stunned the Atlas Lions
Read more »
Team GB make splash with first medal of Paris Olympics in dramatic diving eventTeam GB earned its first medal of Paris 2024 after Yasmin Harper and Scarlett Mew Jensen claimed diving bronze in dramatic circumstances
Read more »