Rising Home Prices: A Look into February 2024

Rising Home Prices: A Look into February 2024

By: Nfinity Financials0 comments

In February 2024, home prices in Australia went way up, hitting their highest levels ever. This happened because loads of people wanted to buy homes, but there weren’t enough houses to go around. As more and more people tried to buy homes, it made things super competitive, which drove prices even higher. The real estate scene was pretty unpredictable, with demand going up and supply staying low, all adding to this big price jump.

Experts said that in February, home prices in the whole country went up by 0.45%, which is the biggest jump in a month since October 2023. This means that compared to last year, home prices went up by 0.82%. And if you look at February this year compared to February last year, prices are up by 6.15%, which is the fastest growth we’ve seen since July 2022.

Increased Listings Meet Steady Demand

Even though lots of new homes were put up for sale in 2024, buyers are still really interested in buying. Experts say it’s because more people are moving in, it’s hard to find rental places, jobs are staying strong, and homeowners are making more money from their properties. Plus, people are excited about the idea that interest rates might go down later in 2024, which is making even more people want to buy.

Compared to the same period in 2023, there were more auctions and home sales in the first two months of 2024. This shows that the market is getting better, and more people are buying homes.

Capital Cities Lead the Growth

In February, home prices went up in every capital city except Hobart. The leaders in this price rise were Adelaide, Perth, Sydney, and Brisbane. What’s interesting is that smaller cities like Perth, Adelaide, and Brisbane had big increases in prices compared to last year. This shows that these cities are still attractive to buyers and are doing well in tough times.

Big cities have been growing faster in terms of home prices, but smaller towns and rural areas are also doing well. In February, both big cities and smaller towns saw their home prices reach new highs. Even in rural areas, prices went up by 0.33%, showing that the real estate market outside of big cities is looking good too.

Unit Market Shows Strong Start

In the last year, the prices of houses have been going up faster than the prices of units. But in February 2024, something changed: unit prices started going up faster than house prices. This change demonstrates that the unit market is starting off well in 2024. It’s occurring because people are concerned about the rising prices of houses, and apartments, being slightly cheaper, are attracting more buyers.

Outlook Remains Positive

The report predicts that home prices will keep going up in the next few months, especially if interest rates go down in the second half of 2024. Because more people are moving in and there aren’t enough homes available, prices are likely to keep rising. This is especially true for cities like Brisbane, Adelaide, and Perth, where there aren’t many homes for sale, but lots of people want to buy.

Conclusion

The big jump in home prices we saw in February 2024 is because lots of people want to buy houses, but there aren’t enough to go around. As the market keeps changing, it’s important for everyone involved to stay alert. That means adapting plans to take advantage of good opportunities and protect against risks in the real estate world that’s always changing. Don’t miss out on the chance to assess your borrowing capacity with Nfinity Financials. Book a consultation call at 1300 GET LOAN now to make sure you’re ready for whatever comes next in the housing market. visit our related articles.

Related post

Leave A Comment