The latest CoreLogic property index results for May reveal that Adelaide, Hobart, Darwin and Canberra have outperformed Sydney, Melbourne and Brisbane over the last year, as have many of the regions around our nation.
We know that the larger capital cities took the biggest hit during the covid-downturn, due to the prime strengths of living in major metropolises being taken away during lockdowns. This meant people felt claustrophobic and better appreciated open spaces and nature which has played out in property value growth across the country and the world.
However, as we have moved back towards more consistent normality (notwithstanding the occasional shorter lockdowns), Sydney in particular is making up ground rapidly, jumping from 7.5% annual growth in April to 11.2% annual growth in May and having the largest quarterly growth in the entire country. We expect this trend of major cities rebounding to continue over time, especially once vaccines are fully rolled out, and further boosted once international migration and tourism resumes. This trend is already playing out and we believe it is only in its infancy.
Read our May property update – Home values rally in May after subsiding in April