While price declines were more widespread in September, the pace at which house values have fallen seemed to have eased.
PropTrack’s Home Price Index showed a 0.19% decline in national house prices by the end of the first month of the spring-selling season, down from 0.39% from the previous month.
PropTrack senior economist Paul Ryan said this recent monthly decline is the slowest since prices began falling in April.
“The easing in declines comes as sellers hit the market for the typically busy spring season. September also saw activity disrupted by public holidays,” he said.
Across capital cities, home values declined 0.22% during the month, slower than thee 0.42% fall recorded by the end of August.
“Sydney and Melbourne prices fell only slightly in September after significant falls in recent months — this bucked the recent trend of these cities consistently seeing the largest falls,” Mr Ryan said.
Over the month, Darwin reported the biggest decline in home prices at 0.37%, followed by Perth, Brisbane, and Melbourne which all recorded a 0.29% fall.
Hobart, on the other hand, reversed the slump it recorded in August, hitting a 0.05% increase in house prices in September. It was the only capital city that recorded a monthly increase in house prices.
Across regional areas, South Australia and Tasmania continue to defy national falls, hitting new price peaks in September.
However, overall prices in regional areas still declined 0.11% during the month.
Mr Ryan said the moderation in price falls does not seem to indicate the end of the downturn.
“Interest rates have continued to increase and expectations of a hike in early October will push prices lower throughout spring,” he said.
“While we expect home prices to continue to fall across the country in 2022 and into 2023, we will see a pick-up in market activity for spring in October as public holidays have delayed some selling activity so far.”
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