House price increase from trough ... so far

2/15 Scott Grove, Glen Iris, vic - Property Sold Price

$1.25m - April 2017
$1.326m - Nov 2019

So that's an increase from the peak. Property is unchanged other than a new back fence that the strata took care of (I read the strata report back in 2017)

 

Update of chart and summary table. Data is sourced from core logic but chart has been rebased to the election date.

Perth definitely seems to have hit a bottom or at least stabilised. Not showing an uptrend yet.

Noticeable acceleration in price rises in Sydney in last 4-6 weeks.

 

Perth in the green for the month. Papers won't know what to say about this! You'd have to think it's comfortably stabilised by now, with the enormous reduction in vacancy rates the last 24 months.

Would absolutely love to start seeing that trend go up. Nothing would get the emotions/sentiment in WA growing that positive upswings in house prices..

 

And Aug 18 wasn't even the bottom, worse drops were in Q4 2018 and q1 2019

 

Update of chart and summary table. Data is sourced from core logic but chart has been rebased to the election date.

Sydney and Melbourne look like they will certainly end the year at over 6%+ year on year for 2019.

Heading into December rate of change may drop off ( although this weekend will be a busy weekend for auctions ).

 

Perth getting a little run on now

 

Update of chart and summary table. Data is sourced from core logic but chart has been rebased to the election date.

Adelaide has now just swung back up above the index value it recorded on the election date.

 

Hi Wombat, what would your chart look like if it was to be rebased at last peak price (for ex for Sydney in mid 2017)?

Seems like the discussion was did the market turn at election day, but now it is more has it gone past previous peak?

 

I will need to see if I have enough data for that.

@petewargent can probably produce a chart. Would likely have the older data.

 

Sydney is going gang buster - from the chart above.

 

Good to see Brissy on an upward trajectory. I have some evidence on the ground to support the graph. Just got a call from an agent there who just sold almost an identical house to my IP a few doors down in the same street. Earlier in the year same agent said I would get around 570k, and this house sold for 600k, said he has buyers who missed out, if I want to sell mine (which I don't) he thinks I would get definitely get 600k as well. He said sales volumes have increased a lot the past 3-4 months and price increases have followed. My property is a 4 x 2 house, about 20 years old, in 17 Mile Rocks (21km from CBD).

 

I’ve tweaked the scale as it makes it easier to see changes in the rate of change. This was particularly so earlier after the election.

 

Update of chart and summary table. Data is sourced from core logic but chart has been rebased to the election date.

Rate of change for Sydney and Melbourne slowing as the year winds down.

 

Update of chart and summary table. Data is sourced from core logic but chart has been rebased to the election date.

 

Wow, lots of statistics, sorry too much to read for me personally...
As I am in RE game as opposed to property game, hence I would be more interested in the land, are values increasing there?
I don't mean to be rude it's just that I prefer to look what land / sqm cost me when I purchased and what it would be worth now..
So looking say at one IP in QLD in year 2000 it was around $122/sqm now in 2019 is worth about $720/sqm, so about 540% from initial yield of 5.2% to about 10%.
You see we all need numbers to evaluate and measure progress of our investments it's just that some of us look at other metrics, that's all.

 

Not rude. I do the same thing with my own properties from time to time.

 

Genuine question, if using $/sqm should a 900sqm land be 1.5X a 600sqm? Or does it decrease as land size increases?

 

I suppose you should ask that of our government or whoever values the land, why less land costs more as time progresses (larger land tax bill????)?
With time I noticed the land decreasing in size not increasing.

 

From my observations in my area only:

It's a sliding scale. If 400sqm cost 2k a sqm then 600 sqm wont cost 1.2m, probably more like 1.1m or 1m.

This is defpendant on a huge array of factors though (slope/quality/location/possible sub division etc)

 

It depends on where the land is and what the use is.
Two examples,
1. I used to own a 5 acre block, in a semi-rural area where a lot of hobby-farming was conducted. Mine was surrounded by blocks of similar size, and up to 10 acres, down to 2 acres, and of course; much larger blocks with full-on commercial farming.
The cost of the 10 acre blocks was not that much different to mine, because they werent really big enough to do serious farming any more than mine was.
2. Our current block is a residential block, in a more traditional suburb, zoned for 3 units. There are many in the immediate area which are similar, some a bit bigger, and some smaller all zoned the same for units/townhouses. So, the price per metre becomes important (to developers) because the size dictates how many units they can build on it. A smaller block which only allows 2 units drops away in price quite a lot because of that.
My guess is that in a more traditional suburb where say only houses are; the cost per metre might be influenced by its location, and aspect, level block versus sloped, etc.