According to the latest statistics from CoreLogic, Australian real estate values increased for a 17th consecutive month.

 According to numbers crunched by AMP, average capital city prices are now 20% above their previous record high in September 2017 and are up 24.6% above their recent low in September 2020.

 While the broader Australian market grew by just over half a percent in February, the quarterly growth figures demonstrate Brisbane and Adelaide’s more muscular housing market conditions. In Brisbane, housing values rose by 7.2% in the three months to 28 February, while Adelaide is up 6.4% over the same period.

 Graham Cooke, head of consumer research at Finder, said record growth couldn’t continue forever. “We expect to see more moderate, but still significant, price increases in 2022.” Moreover, a recent Finder survey scoffed at Westpac’s recent forecast that property prices will drop 14% over the next two years, with 86% of those surveyed disagreeing with this forecast. Graham Cooke said, “Australians tend to be optimistic about the housing market.”

 Regional Australia also continues to record a substantially higher growth rate than the capital cities. Over the past three months, housing values across the combined rest-of–state regions increased at more than three times the speed of housing values across the combined capital cities; 5.7% and 1.8%, respectively.

 As widely expected, the RBA made no changes to monetary policy at its March meeting. Ironically, this is also the 17^th month in a row the RBA has left the cash rate target at 0.1%. Apart from noting the uncertainty flowing from the Ukraine conflict, the central bank’s commentary on the economic and interest rate outlook recorded no significant change. Moreover, Shane Oliver, Head of Investment Strategy and Chief Economist, AMP, said, “We don’t see the war in Ukraine having a significant impact on the home price outlook in Australia, providing it is contained to Ukraine and NATO does not get directly involved.”

 Closer to home, Angus Raine, Executive Chairman, Raine & Horne said, “It’s too early to gauge the implications for the housing market of the current floods in Southeast Queensland and NSW, however at this stage it appears the damage has been restricted to these pockets.

 “We are urging insurance companies to respond rapidly and support their client’s whose homes have been impacted by flood damage.

 Angus concluded, “At the same time, it appears that the combination of positive property fundamentals such as low interest rates, low unemployment, and population growth, especially now international borders are reopening are underpinning our economy and real estate markets Australia wide.”