Overall, regional dwelling values across Australia fell by just 0.2 per cent over the past three months after reaching peak quarterly growth of 6.4 per cent in December last year.Though it’s the first fall in almost two years, it could deepen, with sharper falls expected if the Reserve Bank of Australia continues significant interest rate hikes over the next few months, CoreLogic economist Kaitlyn Ezzy said.Since May, interest rates have risen to 1.
Ezzy said interest rate rises had made people rethink their decision to buy both in capital cities and more affordable regional areas. Ray White Byron Bay director Damien Smith said the once-booming market was returning to normal, with vendor expectations also changing.“I think they’ve come back to market values rather than the over-the-top expectations for prices,” Smith said. “It’s nice to have normality in the market; people now have time to scratch their heads after they make an offer.
Despite the recent dip, property values in many regional areas are still substantially higher than a year ago.
heagney_melissa Nyunggai Warren Mundine AO Release the tape, SMH