Australian homeowners experienced a significant wealth boost in FY2024, with dwelling values increasing by 0.7% in June, culminating in an 8% rise over the fiscal year, according to CoreLogic.
The growth equates to a $59,000 increase in the median dwelling value, now standing at $794,000.
The annual rise sharply contrasts with FY2022-23, where CoreLogic’s national index dropped by -2%. In that period, values plummeted by -7.5% in the nine months following May 2022, driven by a rising cash rate target.
Tim Lawless (pictured above), CoreLogic’s research director, noted that the national index has steadily grown between 0.5% to 0.8% month-on-month since February.
“The persistent growth comes despite an array of downside risks including high rates, cost of living pressures, affordability challenges, and tight credit policy,” Lawless said. “The housing market resilience comes back to tight supply levels which are keeping upwards pressure on values.”
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Most regions have trended higher in value, though Melbourne and regional Victoria saw slight declines of -0.2% and -0.3%, respectively.
Hobart also showed weaker conditions, with a modest increase of 0.1% in June and a slight annual decline of -0.1%. Meanwhile, Perth led mid-sized capitals with a 2.0% rise in June and a 23.6% annual increase.
Regional Western Australia recorded a 1.5% rise in June and a 16.6% annual increase.
Regional South Australia and regional Queensland also showed robust growth, while regional Victorian values fell by half a percent over the year, and regional Tasmania saw a mild 0.7% rise.
Advertised stock levels mirror the growth trends, with Perth, Adelaide, and Brisbane showing severe shortages of homes available for sale.
Perth listings were 23% lower than the previous year and 47% below the five-year average. In contrast, Melbourne and Hobart listings were elevated, with Hobart tracking 46% above average.
Demand factors, including interstate migration, have influenced housing demand.
Nationally, the annual number of homes sold was 8.6% higher than a year ago and 4.8% above the five-year average. Perth led with a 29% increase in home sales over the average levels.
For more detailed information, download the June HVI report from CoreLogic. For the media release, click here.
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