Homebuyers are stampeding back into the Australian property market, leading to what could be 'the fastest market recovery on record'
If national prices continue on their current trajectory, 2020 will see the fastest market recovery in Australian history, according to property research group CoreLogic.
The property downturn saw an 8.4% correction in values. In just seven months, this fall has largely been made up, with prices on track to fully recover in the next three months.
Head of residential research Eliza Owen attributed much of the recovery to home buyers who have rushed into the market to take advantage of increased affordability and low interest rates.
Visit Business Insider Australia’s homepage for more stories.
It’s one of nature’s greatest phenomenons: the stampede of desperate homebuyers into Australia’s property market.
National prices may have nosedived off their 2017 peaks, but are now bouncing at a blistering rate, kickstarting what research group CoreLogic is calling “the fastest market recovery on record” given the depth of the downturn.
“Since national dwelling values bottomed out 8.4% below their peak at June 2019, the Australian dwelling market has quickly recovered 6.7%,” head of residential research Eliza Owen said this week in a Corelogic note.
“If growth rates continue at the January trajectory – of 0.9% value growth per month – Australia’s dwelling market would make a full nominal recovery by April, marking a 10 month recovery period since values found a floor last June,” Owen said.