Total dwelling values approaching $11tn

The total value of residential dwellings in Australia rose to $10.9 trillion in the June 2024 quarter, according to the Australian Bureau of Statistics (ABS).

This represented an increase of $225.9 billion from the March 2024 quarter when dwellings totalled a value of $10.7 trillion.

The number of residential dwellings climbed by 52,900 to 11.2 million during the June quarter.

Of the total value of residential dwellings, $10.5 trillion was owned by households.

All states and territories except Victoria recorded an increase in the total value of residential dwellings in the June 2024 quarter.

Simultaneously, the national mean price of residential dwellings jumped by $15,600 to $973,000 during this quarter, with all states and territories except Victoria witnessing growth.

The mean price remains the highest in NSW in the country at $1,222,000 million, followed by the ACT ($953,900) and Victoria ($900,300). The Northern Territory recorded the lowest mean price of $538,000.

The total value of residential dwellings has been on an upward trajectory since March 2023, when it was at $9.8 trillion.

However, while it reached the $10 trillion milestone in March 2022, it trended downward between June and December 2022, reflecting a period of slow growth.

With the exception of this period, residential dwelling values have been on an upward trajectory since June 2019 when it was at $6.7 trillion.

CoreLogic’s August 2024 Housing Chart Pack revealed that the pace of growth in Australian dwelling values has slowed.

The rolling quarterly change in national home values eased to 1.7 per cent during the three months to July 2024 from the cyclical high recorded through the June quarter last year, when values were up 3.3 per cent.

The annual pace of growth slowed for the fifth consecutive month, with values up 7.6 per cent over the year to July, down from a recent peak of 9.7 per cent over the year to February 2024.

Capital city values were up 1.8 per cent over the three months ended July, but the pace of growth has slowed compared to three months ago (2 per cent) and has more than halved from the peak of the growth cycle in the June quarter (3.9 per cent).

Growth rates varied across the capital cities, with Perth recording the largest increase in dwelling values over the past year of 24.7 per cent. The city saw a 6.2 per cent rise over the quarter.

Brisbane dwelling values are currently at a record high and ranked second as they surged by 16 per cent over the past year and grew by 3.8 per cent over the quarter.

Similarly, Adelaide dwelling values are also at a record high, rising by 15.5 per cent over the past year and 5 per cent over the quarter.

Hobart was the only capital city to record a decline in dwelling values over the past year of 1.2 per cent, while its quarterly values also fell by 0.8 per cent.

The Tasmanian capital’s dwelling values are now 12.5 per cent below the record high, which was in March 2022.

In Melbourne, dwelling values are now 4.4 per cent below the record high that was in March 2022, with values increasing by 0.2 per cent over the past year and decreasing by 0.9 per cent over the quarter.

Darwin values are now 5.2 per cent below the record high, which was in May 2014. Values increased by 2.3 per cent over the past year, but fell by 0.3 per cent over the quarter.

CoreLogic figures showed that 56.2 per cent of household wealth is held in housing, while there is $2.3 trillion in outstanding mortgage debt.

The national median time on market lifted to 33 days over the three months to July, up from a recent low of 27 days over the three months to April and 30 in July 2023.

Median days on market ticked up from 26 days in July 2023 to 28 in July 2024.

This increase was driven by markets like Sydney (where days on market grew from 29 in July 2023 to 34 in July 2024), Melbourne (39 in July 2023 compared to 28 in July 2024), and Hobart (which had the highest days on market in July 2024 at 54.5 days, up from 37 in July 2023).

[RELATED: Quarterly price growth showing ‘clear signs’ of slowing]