Dwelling values rose in Sydney, Melbourne and Hobart in June, according to the Home Value Index from CoreLogic. Dwelling values across the combined capital cities rose an average of 0.5% in June to be 8.3% higher over the past 12 months.


CoreLogic research director Tim Lawless says the June results continue to show a rebound in housing market conditions after weaker results were reported for the final quarter of 2015, when the combined capitals’ index was down 1.4%. But he says the pace of capital gains in June was substantially lower than the April and May results.


“The monthly growth rate reduction is likely to be welcomed by state and federal policy makers and regulators who may be concerned about a sustained rebound in capital gains,” he says.


“As an example, home values in Sydney have been rising for four years and have increased by a cumulative 59% over this time frame. Melbourne dwelling values have been rising for the same length of time and have moved 41% higher over the growth cycle to date.


“The combined capitals’ headline result was driven by a 1.2% rise in Sydney dwelling values, and a 0.8% gain across Melbourne’s housing market. Hobart values also showed strong conditions with dwelling values moving 1.8% higher over the month.”