Dwelling values in regional markets are up 0.8% since March while capital city values have fallen by 2.6% over the same period, according to CoreLogic’s housing market update.
This can be attributed to low advertised stock levels, and a transition of demand away from the cities as a result of remote working arrangements.
“Nationally, new listing numbers remain 22 per cent lower than a year ago, and 25 per cent below the five-year average,” the update says.
“Such tight inventory levels at a time when demand is recovering is creating some urgency in the market.”
CoreLogic attributes this to people working at home, as well as lower advertised stock levels as people hold onto the family home in the hope of a better price post-pandemic.
While regional areas were not recording the same strong growth conditions pre-COVID as capital cities, their house values did not have the high to fall from – lessening the blow.
