Housing Boom is more Fiction than Fact
A new research, done by the Housing Industry Association, shows the different housing conditions in different cities other than Sydney and Melbourne.
The prices in Sydney have gone up by 19.3 per cent in real terms between 2010 and 2014, but they’ve only grown by 16.0 per cent in real terms during 2005 and 2014. Meanwhile, Melbourne price values increased by 6.7 per cent over 5 years and by 41.6 per cent over 10 years.
But in the other capital cities, prices have fallen and housing boom conditions in Sydney and Melbourne hid the fact that there were price falls in the rest of Australia during the last 5 years.
Brisbane prices have fallen 12.3 per cent since 2010 but risen to 7.6 percent since 2005. Perth values went down by 5.4 per cent since 2010 but had a noticeable jump in price by 43.6 per cent since 2005. Prices in Adelaide experienced a 7.6 per cent drop during the past 5 years, but offset by an 11.6 per cent gain in real terms since 2005. Hobart values went down by 18.0 per cent since 2010 but rose to only 7.0 per cent since 2005.
Check out the rest of the article here.
The boom has done a good job in concealing the decreasing prices in other cities in Australia, thus misleading both buyers and sellers that there’s a housing boom in Australia (even though it’s only been noted in cities like Sydney and Melbourne ). Sydney remains to be one of the biggest residential markets in Australia and I am still encouraging everyone to think about purchasing property here.