Sunday, September 9, 2012

Sydney prices will continue to grow: RP Data

Sydney prices will continue to grow: RP Data

An Article from The Adviser's Jessica Darnbrough
10th September 2012

The Sydney property market has been labelled the one to watch by RP Data.

Speaking to The Adviser, RP Data’s Cameron Kusher said Sydney will always perform strongly thanks to the supply issue and growing population. “Sydney will continue to be one of the better performers. There are many reasons for this. The first reason is that Sydney has not performed to the same level as some other  capital cities over the past 10 years. As such, the capital city has plenty of room to make up,” he said.
“When you adjust for inflation, property prices Sydney are still 7 per cent below their peak in 2003 and  2004. If you team that with the fact that there is still population growth in the capital city and an undersupply of properties, the market is well positioned for the future.” According to the latest RP Data-Rismark Hedonic Home Value Index , the median property price in Sydney is currently $530,000 – 1.1 per cent lower than this time last year.

That said, values look to be steadily increasing once again, with the Index showing prices had grown by 0.1 per cent over the last month.