NEWS
The Reserve Bank of Australia had been concerned about the rapid growth in housing prices.
However, capital city house prices rose by just 0.3 per cent in April and fell by 0.5 per cent in the most expensive suburbs.
The house price index, compiled by property consultants RP Data-Rismark, shows that the housing market has cooled across the country which makes it more attractive for the buyers.
The result, which is consistent with both weaker auction trends and falling home-loan approvals, brings to an end a 16-month spurt of growth that lifted house prices at a rate of one percentage point a month.
Reserve Bank figures released yesterday show that total mortgage lending rose by only 0.5 per cent in April, the weakest result since August 2008, when the global financial crisis reared its head.
Source: The Australian
Published: 01 June 2010
