Australian housing market update: October 2020
Consumer confidence increased, new listings rose, and six of the eight capital cities recorded a rise in home values over the month.
Last month we saw lower home values in Melbourne and Sydney continue to weigh down the national market while the remaining capitals recorded a lift in home values through September.
Despite the national index nudging one tenth of a percent lower, September marked a striking turn in housing market sentiment. Consumer confidence increased, new listings rose, and six of the eight capital cities recorded a rise in home values over the month.
However, falling values in Melbourne and Sydney, which make up an approximately 40% of Australia’s housing stock by number and 55% by value, pushed the national reading into a fifth straight month of decline. But even where values still declined nationally, it was the smallest fall since values started to reduce in May this year.
Melbourne remains the main drag on the headline results, recording the weakest result across the capital cities. Values were down 0.9% in September, and since peaking in March, Melbourne values have reduced by 5.5%. With restrictions starting to lift, private home inspections re-commencing and on-site auctions to be permitted later this month, we expect to see activity lift in October.
Find out the latest news for each capital city by clicking the link and watching the videos below or read the full October 2020 Housing Market Update Transcript.