Australian Real Estate Cools, Melbourne The Warmest

Australian Real Estate Cools

Good news and bad news. The bad news is Australia’s property market is cooling off after a second consecutive month of single-digit gains. The good news, however, is Melbourne experienced the biggest gains of all Australian capital cities.

 

Figures released today from the RP Data-Rismark index showed that average city property prices are up by 0.6 percent for the month of May and the Australian real estate market is moving towards more sustainable growth.

 

The Melbourne property market showed the biggest gains, with homeowners enjoying a 3.3 percent rise in values over the month to an average $480,000.

 

The RP Data-Rismark index also revealed that the difference between capital city and non-capital cities remained wide. In the12 months to May 2010 home values in non-capital city regions grew by 5.8 percent compared to the capital city’s growth of 12 percent.