Australia’s house prices are tipped to rise across the country in 2018. Melbourne’s property market is predicted to soar between seven and 12 per cent while Sydney is expected to climb between four and eight per cent.
According to the SQM Research Housing Boom and Bust Report, Canberra is also expected to increase by five to nine per cent but the winner of next year’s property boom will be Hobart with the report anticipating housing prices there to grow by a massive 13 per cent.
The increases are based on the scenario where both interest rates and the Australian dollar remain stable.
The report shows a slow start to growth in 2018 with a pick up in the second half that will see housing prices match the growth that was experienced in the second half of 2015.
The news comes as a surprise following a decline in growth in Sydney’s house prices. The report’s predicted growth of between four and eight per cent is still down on previous growth periods.
Despite the expectations presented in the report, many forecast a much slower growth rate for capital cities Melbourne and Sydney, as the market has already shown signs of slowing.
But many agree that Hobart could see a boom in the new year.