Story by: Coquohalla Connor
Canberra has retained its standing as the second most expensive capital city in Australia to buy property after Sydney.
House prices have risen over the past three month, to an average of $1.15 million.
Despite the quarterly growth, prices in the Nation’s Capital are currently sitting about $10,000 less than their 2021 peak.
Unit prices have also grown to a record $599,735 also making Canberra the second most expensive place to buy an apartment, for the first time since 2012.
Dr Nicola Powell, chief of Economics and Research at Domain, said that as prices remain high amid the increasing interest rate – conditions for potential buyers are now more favourable.
“We’re seeing a shift in the balance of supply and demand so what prospective buyers will find out that competition has reduced slightly. There’s fewer potential buyers per listing and we’re also seeing the total number of homes on the market improving, so there are more choices.”
However, Powell also warned that might now be the case for much longer.
“The longer a buyer waits they might find that their buyer capacity deteriorates further because we’ve got interest rates rising and we’re expecting them to continue to rise and we’ve also got high inflation which impacts expenses which flows into how much you can borrow” she said.
Listen to the latest news below:
