In Australia’s capital cities, the price of entry-level homes has risen much faster than that of other price ranges, making the dream of many first-time buyers even more distant. If it is said that the high-end housing market led the price recovery after the epidemic, then the cheapest real estate has pushed the market to new highs. In many capital cities, the price of entry-level housing has been setting new highs.
According to the latest data from the Australian real estate website Domain, in the past five years, the price of the cheapest 5% of listings in the Melbourne market has increased by more than twice the increase in the median price-compared with the third quarter of 2015 and the first in 2020 According to the data in the third quarter, the median price of low-priced houses in Melbourne rose by 45% to $465,000, overcoming the real estate market’s pullback and the impact of the epidemic, setting a record high. The data for units is also similar to that of detached houses-the highest increase in Sydney is the most expensive unit/apartment, while Melbourne is still the cheapest unit leading the price growth. Melbourne is also the only city with the highest growth rate of low-cost units among major down payment cities. In Brisbane, Canberra and Perth, the prices of low-cost units have fallen to varying degrees.
Low-cost unit prices in Melbourne have risen by 17% in the past five years, reaching $305,000, with almost one-third of the increase achieved in the past year. At the same time, the median price of the cheaper 50% of the unit market has reached a record high.
https://www.domain.com.au/news/housing-affordability-worsens-in-australian-capital-cities-biggest-price-rises-at-entry-level-1013888/