ANALYSIS

Residential Property Price Indexes
	RPPI (a)	HPI	ADPI
	Mar Qtr 16 to Jun Qtr 16	Mar Qtr 16 to Jun Qtr 16	Mar Qtr 16 to Jun Qtr 16
	% change	% change	% change
Sydney	2.8	3.2	2.0
Melbourne	2.7	3.1	1.3
Brisbane	1.1	1.2	1.0
Adelaide	0.8	1.0	0.2
Perth	-1.2	-1.0	-1.7
Hobart	0.7	0.6	1.3
Darwin	-2.4	-1.9	-3.4
Canberra	2.2	2.8	0.0
Eight capital cities	2.0	2.3	1.4

(a) See Explanatory Notes paragraph 50.


NOTES

The discussion of individual cities is ordered in terms of their significance to the change in the RPPI for the latest quarter.


Weighted average of the eight capital cities (+2.0% RPPI)

The RPPI for the weighted average of the eight capital cities rose 2.0% in the June quarter 2016. This follows a fall of 0.2% in the March quarter 2016 and a rise of 0.2% in the December quarter 2015.

The RPPI rose 4.1% through the year to the June quarter 2016.

In the June quarter 2016, the HPI rose 2.3% and the ADPI rose 1.4%. Through the year to the June quarter 2016, the HPI rose 4.6% and the ADPI rose 2.2%.

The quarterly HPI result follows a flat result of 0.0% in the March quarter 2016, and a rise of 0.2% in the December quarter 2015. The ADPI result follows a fall of 0.8% in the March quarter 2016 and a flat result of 0.0% in the December quarter 2015.


Sydney (+2.8% RPPI)

The RPPI for Sydney rose 2.8% in the June quarter 2016. This follows falls in the March quarter 2016 (-0.7%) and the December quarter 2015 (-1.6%). The index rose 3.6% through the year to the June quarter 2016.

Over the June quarter 2016, the HPI rose 3.2% and ADPI rose 2.0%. This follows two consecutive quarters of price falls for the HPI and ADPI in Sydney.

For established houses, strength was seen across most market segments, particularly in the middle and mid-low segments ($620,000 to $1.5m). Through the year to June, house prices rose by 3.7%, the lowest rate of growth since the September quarter 2012.

For attached dwellings, the price rise was seen mostly in the middle segment of the market ($470,000 to $1.0m). Through the year to the June quarter 2016, the ADPI rose 3.2%.


Melbourne (+2.7% RPPI)

The RPPI for Melbourne rose 2.7% in the June quarter 2016. This follows rises in the March quarter 2016 (+0.8%) and December quarter 2015 (+1.6%). The index rose 8.2% through the year to the June quarter 2016. The highest of all capital cities.

Over the June quarter 2016, the HPI rose 3.1% and the ADPI rose 1.3%.

For established houses, the rise in Melbourne was broad based, with almost all segments of the market showing price rises. Strata with prices between $550,000 and $750,000 contributed most to the rise. Through the year to the June quarter 2016, the HPI rose 9.9%.

For attached dwellings, the rise in Melbourne was predominately driven by the mid to upper market segment ($500,000 to $600,000). Through the year to the June quarter 2016, the ADPI rose 2.8%.


Perth (-1.2% RPPI)

The RPPI for Perth fell 1.2% in the June quarter 2016. This follows a fall of 1.7% in the March quarter 2016 and a rise of 0.5% in the December quarter 2015. The index fell 4.8% through the year to the June quarter 2016.

Over the June quarter 2016 the HPI fell 1.0% and the ADPI fell 1.7%. Through the year to the June quarter 2016, the HPI fell 4.7% and the ADPI fell 4.6%.


Brisbane (+1.1% RPPI)

The RPPI for Brisbane rose 1.1% in the June quarter 2016. This follows rises in the March 2016 (+0.3%) and December 2015 (+1.6%) quarters. The index rose 4.3% through the year to the June quarter 2016.

Over the June quarter 2016, the HPI rose 1.2% and the ADPI rose 1.0%. Through the year to the June quarter 2016, the HPI rose 4.8% and the ADPI rose 2.4%.


Canberra (+2.2% RPPI)

The RPPI for Canberra rose 2.2% in the June quarter 2016. This follows a fall in the March quarter 2016 (-0.4%) and a rise in the December quarter 2015 (+2.8%). The index rose 6.0% through the year to the June quarter 2016.

Over the June quarter 2016, the HPI rose 2.8% and the ADPI was flat (0.0%). Through the year to the June quarter 2016, the HPI rose 7.9% and the ADPI fell 0.4%.


Adelaide (+0.8% RPPI)

The RPPI for Adelaide rose 0.8% in the June quarter 2016. This follows rises in the March quarter 2016 (+0.5%) and December quarter 2015 (+0.9%). The index rose 3.5% through the year to the June quarter 2016.

Over the June quarter 2016, the HPI rose 1.0% and the ADPI rose 0.2%. Through the year to the June quarter 2016, the HPI rose 4.2% and the ADPI rose 0.7%.


Darwin (-2.4% RPPI)

The RPPI for Darwin fell 2.4% in the June quarter 2016. This follows falls in the March 2016 (-2.0%) and December 2015 (-1.8%) quarters. The index fell 6.5% through the year to the June quarter 2016.

Over the June quarter 2016 the HPI fell 1.9% and the ADPI fell 3.4%. Through the year to the June quarter 2016, the HPI fell 6.8% and the ADPI fell 5.7%.


Hobart (+0.7% RPPI)

The RPPI for Hobart rose 0.7% in the June quarter 2016. This follows a rise in the March quarter 2016 (+1.1%) and December quarter 2015 (+2.5%). The index rose 4.9% through the year to the June quarter 2016.

Over the June quarter 2016 the HPI rose 0.6% and the ADPI rose 1.3%. Through the year to the June quarter 2016, the HPI rose 4.6% and the ADPI rose 6.9%.



Total Value of Dwelling Stock



The preliminary estimate of the total value of residential dwellings in Australia in the June quarter 2016 was $6,045.1 billion (up from $5,906.8 billion in the March quarter 2016). Of this, $5,737.3 billion was owned by households.

Over the same period, the number of residential dwellings rose by 39,100 to 9,703,500 and the mean price of residential dwellings rose $11,800 to $623,000.



The mean price of residential dwellings in NSW ($799,500) remains the highest in the country followed by Victoria ($646,400). The mean price in ACT ($622,900) is the third highest. The lowest mean price is in Tasmania ($320,000).