House prices in Australia continue to rise, fresh figures...

House prices in Australia continue to rise, fresh figures reveal. Prices are up in every capital city except Brisbane and Darwin with the median house price in Melbourne cracking $900,000, Domain’s quarterly report shows. However, Sydney annual medium house price growth has slowed to a 15-month low for the second consecutive quarter but went up marginally by 0.5 percent to $1,179,519. Meanwhile, Melbourne, Adelaide, Canberra and Hobart have reached new record highs. Adelaide remains the most affordable capital city by recording the lowest median unit price for the second consecutive quarter. Sydney’s unit prices have dropped 0.4 percent to $736,879 over the last quarter. Annually, units in Sydney grow 1.7 percent. House prices in the harbour city continue to moderate in line with an investor activity slowdown, and first home buyer participation rates are at their highest level in six years as entry-level buyers respond to State Government incentives,” Domain data scientist Dr Nicola Powell said. “Sydney’s double-digit growth phase appears to be in the rear-view mirror, and with no further rate cuts in sight, the market may continue to moderate in 2018. “Demand is likely to weaken, as the heightened investor activity that Sydney has experienced is unlikely to be significantly offset by the rising number of first home buyers.” The median house price went up by 1.4 percent across the country over the December quarter to $813,024. The annual growth rate has slowed to 5.0 percent, which is the lowest in 15 months. For units, median prices varied across each capital city with an oversupply continuing to impact Brisbane and Darwin. Hobart recorded the strongest annual growth in units over the December quarter, followed by Melbourne, Adelaide, Sydney and Canberra. “Weakening investor activity and tightened lending conditions continue to impact Sydney,” the December Quarter Domain House Price Report stated. “Although it reported a slight increase over the December quarter, prices in the NSW capital are still lower than six months ago. “Meanwhile, Melbourne exceeded a median of $900,000 for the first time in December, closing the gap between Sydney and Melbourne to a three-year low.” © Nine Digital Pty Ltd 2018