Melbourne house prices - UP or DOWN?
Jul 14th 2004, 12:06 pm
#1
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Location: Mornington, Melbourne
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Melbourne house prices - UP or DOWN?
Hi all,
I seem to be reading conflicting reports on what property prices are doing around Melbourne. Were moving to the south-eastern suburbs. Would love to know exactly whats happening now and whats expecting in the near future too.
Many thanks,
65KK
I seem to be reading conflicting reports on what property prices are doing around Melbourne. Were moving to the south-eastern suburbs. Would love to know exactly whats happening now and whats expecting in the near future too.
Many thanks,
65KK
Jul 14th 2004, 12:09 pm
#2
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Location: Ping Ponged York via Melbourne and now pinged to Ferny Hills, Brisbane
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From what I can see houses have slowed down they are hanging around on the market around us. We see regular price cuts nothing too drastic but they are dropping to more realistic prices.
That is on the Mornington Peninsula in Victoria.
Hope this helps
Jo
That is on the Mornington Peninsula in Victoria.
Hope this helps
Jo
Jul 14th 2004, 12:14 pm
#3
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Location: Far away from canned Oz
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As in UK, it essentially depends what happens with interest rates.
In Oz, my guesstimate is that prices will be pretty static until after the election - after that, an interest rate rise is likely to occur (to match what is likely to happen in US, Europe and UK) - although prices may not fall (I think they will), they probably won't rise much for another 1-2 years. But, as always, is varies by location!
In Oz, my guesstimate is that prices will be pretty static until after the election - after that, an interest rate rise is likely to occur (to match what is likely to happen in US, Europe and UK) - although prices may not fall (I think they will), they probably won't rise much for another 1-2 years. But, as always, is varies by location!
Jul 15th 2004, 2:44 pm
#4
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House price fall dampens rate hike
House price fall dampens rate hike
July 15, 2004 - 7:59PM
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Confirmation from the Reserve Bank that Australian house prices had come off the boil has dampened expectations that interest rates will rise this year.
The Reserve Bank of Australia (RBA) said house prices started to fall last year and looked to have eased in 2004 as well, driven by the largest cities, Sydney and Melbourne.
The RBA said in an article published in its July bulletin that updated house and apartment price data in the March quarter and "highly" preliminary figures for the June quarter supported the conclusion that house prices had eased.
"Nationwide housing prices have fallen since the December quarter of 2003," the RBA said.
"For Australia as a whole, prices for houses and apartments appear to have fallen in 2004, with this result mainly due to development in the two largest cities."
The central bank said the picture in the other capital cities was more mixed, but broadly signalled prices had risen moderately or remained fairly flat over the past six months.
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RBC senior economist Su-Lin Ong said, while there were flaws in the various surveys and the picture could at times be confusing, the bottom line was housing activity and prices in 2004 had softened.
She said the conclusion, for now, was enough for the RBA to keep interest rates on hold.
"It remains important to monitor all housing sector and credit growth developments and we expect the RBA to hold steady in the coming months as it tries to get a better handle of what is happening in the key housing sector," Ms Ong said.
SG Australia chief economist Glenn Maguire said the article did not have any significant conclusions for interest rates.
However, he said the assessment that house prices had fallen reduced some of the upward pressure on rates.
"We retain our call that the RBA is on hold for the forseeable future with the risk structure skewed to an easing in the first part of 2005," he said.
Economists also said that revisions to some of the data, highlighted in the article, suggested the property market may have fared better than the RBA first thought.
Ms Ong said while the article confirmed that house prices had fallen, revisions to the data suggested those falls were modest.
"This remains consistent with the general perception that the housing sector may be faring better than originally thought," Ms Ong said.
"Of note, the sensationalist double digit falls in Melbourne and Sydney property prices originally reported in May in the Australian Property Monitors Survey have been revised up to smaller falls."
Sydney house prices are now estimated to have fallen by just one per cent in the first quarter compared to the originally reported fall of 10 per cent, Ms Ong said.
Mr Maguire also said the central bank's article bemoaned the lack of quality of available housing data in Australia today, rather than provided a clearer view of the property market.
The RBA said in its article that any judgement about developments in housing prices were subject to the "caveat that timely and comprehensive price data" was not available.
The central bank said that it had recently been working with the Australian Bureau of Statistics and the Australian Treasury to improve the timeliness, comprehensiveness and quality of nationwide housing price data.
© 2004 AAP
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July 15, 2004 - 7:59PM
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Email to a friend Printer format
Confirmation from the Reserve Bank that Australian house prices had come off the boil has dampened expectations that interest rates will rise this year.
The Reserve Bank of Australia (RBA) said house prices started to fall last year and looked to have eased in 2004 as well, driven by the largest cities, Sydney and Melbourne.
The RBA said in an article published in its July bulletin that updated house and apartment price data in the March quarter and "highly" preliminary figures for the June quarter supported the conclusion that house prices had eased.
"Nationwide housing prices have fallen since the December quarter of 2003," the RBA said.
"For Australia as a whole, prices for houses and apartments appear to have fallen in 2004, with this result mainly due to development in the two largest cities."
The central bank said the picture in the other capital cities was more mixed, but broadly signalled prices had risen moderately or remained fairly flat over the past six months.
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RBC senior economist Su-Lin Ong said, while there were flaws in the various surveys and the picture could at times be confusing, the bottom line was housing activity and prices in 2004 had softened.
She said the conclusion, for now, was enough for the RBA to keep interest rates on hold.
"It remains important to monitor all housing sector and credit growth developments and we expect the RBA to hold steady in the coming months as it tries to get a better handle of what is happening in the key housing sector," Ms Ong said.
SG Australia chief economist Glenn Maguire said the article did not have any significant conclusions for interest rates.
However, he said the assessment that house prices had fallen reduced some of the upward pressure on rates.
"We retain our call that the RBA is on hold for the forseeable future with the risk structure skewed to an easing in the first part of 2005," he said.
Economists also said that revisions to some of the data, highlighted in the article, suggested the property market may have fared better than the RBA first thought.
Ms Ong said while the article confirmed that house prices had fallen, revisions to the data suggested those falls were modest.
"This remains consistent with the general perception that the housing sector may be faring better than originally thought," Ms Ong said.
"Of note, the sensationalist double digit falls in Melbourne and Sydney property prices originally reported in May in the Australian Property Monitors Survey have been revised up to smaller falls."
Sydney house prices are now estimated to have fallen by just one per cent in the first quarter compared to the originally reported fall of 10 per cent, Ms Ong said.
Mr Maguire also said the central bank's article bemoaned the lack of quality of available housing data in Australia today, rather than provided a clearer view of the property market.
The RBA said in its article that any judgement about developments in housing prices were subject to the "caveat that timely and comprehensive price data" was not available.
The central bank said that it had recently been working with the Australian Bureau of Statistics and the Australian Treasury to improve the timeliness, comprehensiveness and quality of nationwide housing price data.
© 2004 AAP
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Jul 15th 2004, 3:41 pm
#5
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Re: Melbourne house prices - UP or DOWN?
Originally posted by 65 million
Hi all,
I seem to be reading conflicting reports on what property prices are doing around Melbourne. Were moving to the south-eastern suburbs. Would love to know exactly whats happening now and whats expecting in the near future too.
Many thanks,
65KK
Hi all,
I seem to be reading conflicting reports on what property prices are doing around Melbourne. Were moving to the south-eastern suburbs. Would love to know exactly whats happening now and whats expecting in the near future too.
Many thanks,
65KK
5 different bodies views on house prices - there's something there for everyone!
Jul 15th 2004, 11:12 pm
#6
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Location: melbourne,australia
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I reckon they are slowly going for a more reasonable price. The investment buyers have dropped off quite a bit and this is one reason for the slow down. Properties in Melbourne are the quickest to sell throughout Australia according to the news report the other day.
Having looked throught the property pages lately , I reckon the prices are looking a little more realistic.
Booboo
Having looked throught the property pages lately , I reckon the prices are looking a little more realistic.
Booboo
Jul 16th 2004, 11:03 am
#7
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Location: New Zealand
Posts: 2,389
Originally posted by booboo
I reckon they are slowly going for a more reasonable price. The investment buyers have dropped off quite a bit and this is one reason for the slow down. Properties in Melbourne are the quickest to sell throughout Australia according to the news report the other day.
Having looked throught the property pages lately , I reckon the prices are looking a little more realistic.
Booboo
I reckon they are slowly going for a more reasonable price. The investment buyers have dropped off quite a bit and this is one reason for the slow down. Properties in Melbourne are the quickest to sell throughout Australia according to the news report the other day.
Having looked throught the property pages lately , I reckon the prices are looking a little more realistic.
Booboo
