Australian housing market update: March 2021
Momentum continued to build across Australian housing markets last month, as values rise at the fastest rate in seventeen years.
Our national index showed housing values surged 2.1% higher in February, which was the largest month-on-month rise since August 2003. Spurred on by a combination of record low mortgage rates, improving economic conditions, government incentives and low advertised supply levels, Australia’s housing market is in the midst of a broad-based boom.
Housing values are rising across each of the capital city and rest of state regions, demonstrating the diverse nature of this housing upswing. A synchronised growth phase like this hasn’t been seen in Australia for more than a decade. The last time we saw a sustained period where every capital city and rest of state region was rising in value was mid-2009 through to early 2010, as post-GFC stimulus fueled buyer demand.
Sydney and Melbourne were among the strongest performing markets, recording a 2.5% and 2.1% lift in home values over the month respectively, as Australia’s two largest cities caught up from a weaker performance through 2020. The quarterly trend however, is still favouring the smaller cities; Darwin housing values rose 5.5% over the past three months, Hobart values rose 4.8% and Perth was up 4.2%.
Find out the latest news for each capital city by clicking the link and watching the videos below or read the full Australian housing market update March 2021 transcript.