Newcastle homeowners have begun to recoup some of their on-paper losses following a 0.6% increase in property prices in September 2019.
On the day the Reserve Bank of Australia slashed official interest rates to its lowest ever of 0.76%, CoreLogic released figures in October showing the house median price in Newcastle and Lake Macquarie increased to $543,000.
Apartment prices declined 1% following an increase of 0.7% in August 2019.
Beyond Newcastle, the rest of the Hunter area saw a 1% in median house values, to $433,000, following a 0.8% drop the month before. Unit values declined 0.2% to $334,000, or down 20% from their peak.
Across Australia, the market improved 0.9% in September, its highest monthly growth since March 2017 and its third successive month of increase, thanks mostly to a 1.7% monthly increase in Sydney and Melbourne.
Median values in Sydney and Melbourne have climbed over 3% during the winter months – July, August & September.
According to CoreLogic, population growth and the jobs market stayed more robust in NSW and Victoria compared to other states.
Other factors driving price increases are lower interest rates and better access to credit. There are indications that a lot of the larger regional hubs are beginning to mend with Geelong, Illawarra and of course our Newcastle-Lake Macquarie region. All posting an increase in prices over the September quarter.
In other CoreLogic data, 6% of homes sold in Newcastle in the June quarter did so at a loss to sellers. The number of houses and units selling at a loss increased twofold in Newcastle over the year of June 30 and was at its peak since October 2013.
In the remainder of Hunter, the percentage of houses and homes that was sold at a loss in the June quarter was 7.1%.
To know more about your home and the market conditions of your suburb, call Annette for a free appraisal or a copy of her postcode report.