Capital city dwelling values rebound in January, largely driven by gains across the Brisbane, Sydney, and Perth markets

From an RP Data press release:

Home values across Australia’s capital cities were up 1.2% in January, taking the annual movement in dwelling values back into the black with a 1.8% increase over the past twelve months.  Dwelling values across Australia’s combined capital cities recorded a 1.2 per cent improvement over the month of January, negating the -1.2 per cent drop in values recorded over the final quarter of 2012.

Since bottoming out in May 2012, dwelling values across the combined capital cities have recovered 3.1 per cent.

The year on year results have now moved firmly into positive territory, with capital city dwelling values 1.8 per cent higher over twelve months ending January 31st.

Every capital city, apart from Melbourne (-0.4 per cent), has recorded an increase in dwelling values over the past twelve months. The gains in January were mostly focussed within the Brisbane, Sydney and Perth markets where values were up 2.0 per cent, 1.8 per cent and 1.7 per cent respectively.

According to RP Data’s research director, Tim Lawless, housing market conditions have started the year on a strong footing. “These strong January results are likely to have seen some upwards seasonal bias, however the housing market has been on a clear recovery trend since June last year. Capital gains aren't likely to remain this high over the coming months, however we are likely to see the recovery trend continue through 2013.  Despite the improving market conditions in January, dwelling values across the combined capital cities remain 4.6% below their 2010 peak. The latest housing market data adds weight to the argument that interest rates may be at the bottom of the cycle. The Reserve Bank will be watching the performance of the housing market closely, and the positive trend in housing values will dampen calls for further interest rate cuts,” Mr Lawless said.

Brisbane apartment prices (to 31 January 2013):
January 2013 - up 4.4%
Quarter - up 3.8%
Year on Year - up 3.2%
Median price based on settled sales of Brisbane apartments over the quarter - $350,500.