Housing prices have fallen, thanks largely to a softening Melbourne market, new data shows.
Preliminary results from CoreLogic RP Data show average prices in the mainland state capitals were down by 0.4 per cent in the first 26 days of November, compared with the October average.
“The soft result can mostly be attributed to a more substantial decline in Melbourne where dwelling values are down 2.1 per cent,” CoreLogic RP Data research director Tim Lawless said today.
“The weak Melbourne result has been offset by continued strength in the Sydney market where our index has moved 0.8 per cent higher.”
Annual growth in housing capital gains peaked in April and has been trending lower ever since, he said.
The home value index results for all of November and covering the whole of Australia will be published on Monday.
In other economic news, the value of loans outstanding to the private sector rose slightly more than expected in October, Reserve Bank of Australia data shows.
The central bank’s financial aggregates for October show total credit increased by 0.6 per cent, after increasing by 0.5 per cent in September.
Over the year to October, total credit rose by 5.7 per cent, slightly above analyst forecasts of 5.5 per cent, compared with a 3.4 per cent lift over the year to October 2013.
Personal credit was flat in the month, after lifting by 0.3 per cent in September.
Business credit rose by 0.7 per cent in October, after rising 0.5 per cent in the previous month.
Housing credit grew by 0.6 per cent in October, the same as in September.
Broad money, which includes currency, deposits and other short-term liquid liabilities, rose by 0.6 per cent in the month, after lifting 0.5 per cent in September.
Meanwhile, housing loans rose 7 per cent over the year to October, compared with 5 per cent growth in the previous year.
Personal loans lifted 1.0 per cent in the year to October, up from a 0.7 per cent lift in the prior year.
Business loans lifted 4.3 per cent over the year, compared with a 1.3 per cent rise in the previous year.
Broad money rose 7.7 per cent over the year, up from 5.7 per cent over the prior year.