House prices lifted by 1.6% in the March quarter 2020 (January-March), coming in below expectations of a 2.5% rise.
All capital cities recorded a rise in residential property prices with Australia's two largest cities, Sydney (+1.9%) and Melbourne (+2.1%), continuing to lead the rises, according to figures released today by the Australian Bureau of Statistics (ABS).
House prices rose 2.6% in Sydney and 2.3% in Melbourne, while attached dwelling prices (apartments and townhouses) rose 1.5% in Melbourne and 0.8% in Sydney.
ABS Chief Economist Bruce Hockman said estimates were in line with expectations.
"The majority of restrictions relating to COVID-19 came into effect in late March and therefore did not have a noticeable impact on property prices in the March quarter 2020," he said.
Through the year to the March quarter 2020, residential property prices rose 7.4%, with rises in all capital cities except Perth and Darwin.
The results were lower than what had been expected. NAB had predicted house prices would rise 2.5% and be up +8.1% on a year ago.
AMP Capital chief economist Dr Shane Oliver had forecast house prices for the March quarter would show a rise of 2-3%, but noted the data was a bit dated.
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