It's a fantastic time to own property in Bexley and Sydney. We all know the Sydney housing market is booming and values keep improving, and a new study conducted by RP Data just reinforces this trend. The study shows that even when value improvement is adjusted for inflation, Sydney still comes out on top.
According to the Australian Bureau of Statistic's quarterly Consumer Price Index, inflation for the September quarter sat at 0.5 per cent and for the 12 months prior to September it was at 2.3 per cent. This is on the low end of the Reserve Bank's 2-3 per cent target, especially with inflation slowing to 1.8 per cent over the last six months.
RP Data took this data to get a more accurate picture of what's happening to home values. They found that 'real' home values in capital cities have jumped 6.8 per cent in the past year, while nominal values have increased by 9.3 per cent. Sydney in particular experienced significant growth – 14.3 per cent annual nominal growth and 11.8 per cent 'real' growth in home values.
This leaves Sydney as the only capital city market with double digit annual growth in real values and furthers what has been a great period for our market. RP Data attributes this boom to a diverse economy, low interest rates and increased activity from investors.