House prices climbed across every capital city in January as the housing sector continues to climb, despite a slight easing of momentum during the first month of the year.
Australian homes gained 0.9 per cent in value for the month, with Sydney up 1.1 per cent and Melbourne up 1.2 per cent to be the strongest performers despite the pace of growth slowing from December, according to property data firm CoreLogic.
CoreLogic head of research Tim Lawless said the speed of national growth for the month was down from the 1.7 per cent peak in November, though he said January data could be hard to read due to fewer listings and sales.
The nation’s annual house price growth rate to January was 4.1 per cent – the highest 12-month rate since December 2017.
The median dwelling price in Sydney for January was $862,814, while Melbourne’s median was $681,925, and Canberra’s $630,078.
Mr Lawless said housing remained more affordable relative to the highs of 2017, though was “still an issue in the bigger cities”.
Hobart’s 0.9 per cent increase bettered many larger cities in January.
For regional areas, Tasmania also recorded strongest growth with 1.3 per cent.
Despite the climbing prices, people appear to be optimistic about buying a home.
Australians’ attitude towards buying conditions is better than 12 months ago – up 3.4 per cent – according to the Westpac-Melbourne Institute consumer sentiment index for January.
The Reserve Bank board may take house prices into account when it meets tomorrow to consider borrowing rates.