Sydney residential asking prices have leapt 11.5 per cent in the year to February 7 to hit a median price of $1.25 million for houses, research group SQM Research said.
An analysis of asking prices advertised in capital cities also revealed Melbourne’s asking house prices in the same period jumped 11.4 per cent to hit a median high of $803,200.
Sydney and Melbourne apartment asking prices also rose 8.5 per cent and 6.7 per cent respectively.
Crucially, national residential property listings have fallen again in January and have now tumbled 5.5 per cent from a year ago. Melbourne, Sydney and Canberra recorded the biggest monthly falls, down 12.3 per cent, 6.6 per cent and 6.4 per cent respectively.
“There has been a drop in property listings … as some vendors wait on the sidelines for price rises to eventuate. This is only perpetuating increases in asking prices in those cities, and we can expect to see those housing markets gain momentum with demand still fuelled by low interest rates and good population growth,” SQM managing director Louis Christopher said.
The rise in asking prices correlates with other analyses including Corelogic’s January hedonic home value index and Domain’s December quarter report. Mr Christopher feels, however, the use of asking prices is more relevant because “grabbing sold prices from months ago to be used in the current time is wrong”.