Home values in Australia’s capital cities are continuing to rise, and Darwin is helping to lead the nation.
The latest RP Data-Rismark Hedonic Home Value Index Results show that according to the combined capital city index, home prices rose 0.3 per cent during April.
While this represents a slowdown of home price increases from the previous month, RP Data’s Tim Lawless said it’s too early to tell if this marks a trend, spotlighting activity in Sydney and Melbourne.
“A lower rate of capital gains in Sydney and Melbourne where dwelling values surged 22.5 per cent and 16.4 per cent respectively over the current growth cycle may now signal that these markets are moving through their growth cycle peak,” Mr Lawless said in a May 1 media release.
“However, we will need to see a few more months of data before we can establish whether a slowing trend is now evident in these cities.”
Meanwhile, Darwin was singled out as the best performing capital city in the three months ending in April, posting a value increase of 5.1 per cent. Darwin also took the prize for the highest rental yields for both houses and units, reaching 5.8 per cent and 6.1 per cent, respectively.
This is very favourable news for buyers in the Northern Territory considering investment property in Darwin.