Luxury suburbs drag down Aussie housing market

RPdata Industry Market info

The near-double interest rate hike in November last year has bitten, with seasonally-adjusted Australian capital city dwelling values down 1.2% in the three months to end April, although in raw terms home values are mostly unchanged (-0.2%). Expensive suburbs have been the poorest performers in line with the share market.

Based on more than 85,000 home sales nationally in 2011, the market-leading RP Data-Rismark Home Value Index for the combined capital city dwelling markets declined by -0.3 per cent (seasonally-adjusted) in the month of April (or -0.1 per cent in raw terms). This is in line with RP Data-Rismark’s forecasts since late 2009 (see quotes).