Largest total value rise on record for residential dwellings

The total value of residential dwellings in Australia now exceeds $8 trillion, according to the Australian Bureau of Statistics (ABS). 

The ABS found the total value of Australia’s 10.6 million residential dwellings rose by $449.9 billion to $8,293.2 billion in the March quarter 2021. 

This was the largest rise on record for the ongoing study, which looked into the value of 10.6 million residential dwellings.

The mean price of residential dwellings in Australia was $779,000 up from $739,900 in the December quarter 2020. 

The ABS Head of Prices Statistics Michelle Marquardt said the total value of residential dwellings in Australia had now surpassed $8 trillion for the first time. 

New South Wales (NSW) accounted for approximately 40 per cent or $3.3 trillion of Australia’s total value of dwellings. The average price of residential dwellings in NSW rose to $1.01 million.

“This was the first time any state or territory had seen the average price of dwellings rise above $1 million,” Ms Marquardt said.

Residential property prices rose 5.4 per cent in the March quarter 2021. The ABS confirmed this was the strongest quarterly growth since the December quarter 2009.

All capital cities recorded a rise in residential property prices in the March quarter 2021, led by Sydney (6.1 per cent) and Melbourne (5.1 per cent). 

Property prices also rose in Perth (5.2 per cent), Brisbane (4 per cent), Adelaide (4 per cent), Canberra (5.6 per cent), Hobart (6.1 per cent), and Darwin (4.7 per cent). 

“Results this quarter were consistent with housing market conditions. Strong demand for housing was supported by record low interest rates, government initiatives, and rising consumer confidence. Price rises were observed in all segments of the housing market with growth in house prices continuing to outpace price growth in attached dwellings,” Ms Marquardt said. 

House prices rose 6.4 per cent, while attached dwelling prices rose 2.7 per cent. The rise in house prices this quarter was the strongest since the series began in March quarter 2002.

Annually, residential property prices rose 7.5 per cent, with rises in all capital cities.

The largest annual rise in property prices was in Canberra (10.9 per cent), followed by Hobart (10.2 per cent), and Perth (9.0 per cent).