The value of Australian homes is soaring as record home buying activity pushes prices higher in a once-in-a-generation housing market boom.
They report that the total value of Australian housing over the March quarter increased sharply by 5.7% compared to the previous quarter, to a new record high of $8.29 trillion.
Australian home values have now increased by 13.9% over the past year – the fastest annual rate of growth on record.
All capitals reported increases in home values over the March quarter with NSW the top performer up by 6.4% followed by TAS up 6.3% and ACT up 6.2%.
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NSW also reported the highest state average home value over the March quarter at a new record
$1,011,100 – and for the first time now over $1 million.
Although housing affordability is falling as prices surge there remains plenty of upside to price growth through 2021 – for all state markets. And the wealth effect from sharply higher home values will have a positive impact on the recovering Australian economy.