Melbourne has finished September as the best performing with an increase of +5.0% and the lowest renal yielding market for houses, averaging 2.8%.
Melbourne property market, recorded a 1.0% month-on-month gain, taking capital city dwelling values 41.3% higher since the growth cycle commenced in June 2012.
The top performing market was Melbourne where dwelling values pushed 5.0% higher over the third calendar quarter, due largely to a strong rise in house values (+5.2%) which balanced a softer result for the unit market (+2.9%).
Melbourne clearance rates have consistently been above 75%, albeit on substantially lower volumes than a year ago.
The top three auction markets for spring activity have been: Inner Melbourne (780 auctions over the four weeks of September with a clearance rate of 75%), Melbourne’s Inner South (560 auctions with a clearance rate of 82%) and North Sydney/Hornsby (545 auctions with a clearance rate of 85%).
The most successful auction markets have been Sydney’s Eastern Suburbs where 89% of auctions were successful during September, Melbourne’s Mornington Peninsula (88% of auctions cleared) and Sydney’s Ryde (87% of auctions cleared).
The housing market has clearly been a substantial source of wealth creation for many Australians, particularly for home owners in Sydney and Melbourne.
Since the end of 2008, Sydney dwelling values increased by almost 95% and Melbourne dwelling values are up 80%.
By a large margin, the lowest yields are now in Sydney and Melbourne where value growth has been the most extreme and caused yields to compress.
The typical gross yield on a Sydney and Melbourne house is now 2.8%.
You may also be interested in reading:
SUBSCRIBE & DON'T MISS A SINGLE EPISODE OF MICHAEL YARDNEY'S PODCAST
Hear Michael & a select panel of guest experts discuss property investment, success & money related topics. Subscribe now, whether you're on an Apple or Android handset.
NEED HELP LISTENING TO MICHAEL YARDNEY'S PODCAST FROM YOUR PHONE OR TABLET?
We have created easy to follow instructions for you whether you're on iPhone / iPad or an Android device.
PREFER TO SUBSCRIBE VIA EMAIL?
Join Michael Yardney's inner circle of daily subscribers and get into the head of Australia's best property investment advisor and a wide team of leading property researchers and commentators.