Home Values Up 10% for 2013

Australian home values wound up the 2013 calendar year 9.8% higher, the strongest rate of growth they’ve enjoyed since August 2010.

According to the RP Data – Rismark Home Value Index, dwelling values across capital cities increased by 1.4% in December and by 2.8% over the final quarter of 2013.

In the first quarter of 2013 home values went up 2.8%, followed by 0.2% in the second quarter, and 3.7% in the third quarter.

The 9.8% overall growth also represents the largest calendar year increase in values since 2009 when home values were up 13.7%.

House value growth at 9.9% slightly outpaced the overall increase in unit values at 9%.

Growth picked up in the latter half of the year; from 3% to July to 6.6% through to December, after a disappointing 2011 and 2012.

“Clearly value growth has gathered momentum throughout the second half of the year,” said RP Data’s Cameron Kusher.

“Despite the strongest annual value growth since 2009, the rate of growth was not that startling given the low interest rate environment and the previous successive years in which home values fell.”