The latest HIA-RP Data Residential Land Report provided by the Housing Industry Association, and CoreLogic RP Data, show that acute supply bottlenecks continue to affect Australia’s residential land market. Land prices reached an all-time high in both the capital city and regional markets.
Turnover in the national land market declined by some 16.7 per cent during the September 2014 quarter. At the same time, price growth accelerated to 3.3 per cent over the quarter.
During the September 2014 quarter the weighted median price of residential land rose by 3.3 per cent to $212,727 per lot. This represents an all-time high for land prices nationally. Capital city land prices saw growth of 4.7 per cent during the quarter, and were 10.0 per cent higher than twelve months earlier, however some of this was due to an increase in the size of land lots transacted. In regional Australia, land prices rose by 0.7 per cent during the quarter and were 3.5 per cent higher compared with a year earlier.
The supply and price issues flow directly into helping to drive house prices higher.
