5 reasons why young investors should bet on property for wealth building
Despite headlines filled with doom-and-gloom predictions about where the real estate market is heading, this expert beli...
The total worth of the nation’s residential dwellings rose by $221.2 billion in the March 2022 quarter, bringing the value of Australian real estate to a new high, according to the Australian Bureau of Statistics (ABS).
This puts the value of Australian residential property at $10.2 trillion, surpassing the $10 trillion mark for the first time. The agency estimated the country’s total property value at $8.4 trillion in March 2021.
Homes in NSW account for the lion’s share of that $10 trillion, with 40.1 per cent (or $4.1 trillion) of the country’s property equity housed in the state. Victoria holds 26.9 per cent ($2.7 trillion) of the country’s home value, while Queensland makes up 16.7 per cent ($1.7 trillion).
NSW, unsurprisingly, also recorded the highest mean dwelling price in the country. Average residential property prices rose $6,800 to $1,222,200 during the March quarter 2022.
The second-highest mean price was in the ACT ($1,028,000), followed by Victoria ($966,500). The lowest mean price ($509,100) was in the Northern Territory.
The mean price of residential dwellings in Australia rose $16,600 to $941,900, up from $925,300 in the December quarter 2021.
Looking at yearly growth, certain areas saw eye-watering jumps in property value relative to their price points 12 months ago.
“Over the past year, growth in median prices in regional NSW and Victoria has outpaced growth in their capital cities for both houses and attached dwellings,” noted Michelle Marquardt, head of prices statistics at the ABS.
In regional NSW, the median house price increased 29.1 per cent in 12 months to $800,300, and the Victorian regions saw a rise of 17.4 per cent to $640,000. In their respective capitals, house prices in Sydney rose by 16.4 per cent to $1,245,000 and by 9.4 per cent to $930,000 in Melbourne.
Regional Tasmania saw the biggest increase, with the average price of a house rising 30 per cent to $520,000 over the year. Brisbane also reported elevated numbers, with average house prices reaching 787,500, a 29.3 per cent jump over the 12-month period. Canberra recorded a similar increase of 28.3 per cent, with the average detached dwelling going for $1,065,000.