The total value of residential real estate in Australia has surged to $9.1 trillion, gaining $1 trillion in just five months to set a record valuation for the sector.
The total value of homes across the country is now 28.2% higher than the estimated value of superannuation, the ASX and commercial real estate, says CoreLogic data. In the past 12 months, home values rose by average of 20.3% – the fastest rate of annual growth since June 1989. CoreLogic’s Eliza Owen says the rapid growth in values means dwellings are of increasing importance to household wealth – and could generate more investor interest.
NSW took the largest slice of the country’s residential market with 41%, amounting to $3.76 trillion. Victoria has 28% of the total value and Queensland accounted for 15%. Western Australia has 7.2% of the housing market, South Australia 4.%, the ACT 1.9% and the NT 0.5%.
The sharp rise in valuation comes as the national median house price rose to $719,000 in September and units to $587,000.