As the slumping Sydney housing market saw several of its suburbs posting double digit median house price declines over the past 12 months through December 2018, a few, including Cremorne, have managed to defy the downward trend and post price growth, the latest data from Domain revealed.
Cremorne is among the top suburbs in Sydney to have a year-on-year median house price growth, the Domain House Price Report – December Quarter 2018 said. Based on a 12-month sales data, the median house price in Cremorne is $2,700,000 for a year-on-year growth of 11.1 percent.
Blakehurst was the top suburb for house price growth with 11.8 percent house median price increase, followed by Cremorne (11.1%), Surry Hills (10.2%), Paddington (8.9%), Vaucluse (8.2%), Camden South (6.2%), Fairlight (5.8%), Mosman (5.2%), Lilyfield (5.1%), and Avalon Beach (4.1%)
Over the year to December 2018, Sydney median house price dropped 9.9 percent to $1,062,619, its steepest decline in two decades, pushing house prices back to mid-2016 levels. In the December quarter alone, prices have fallen 3.2 percent and many regions recorded double-digit year-on-year declines, led by the South with a 14.80 percent median price decline.
Prospects for Sydney market recovering anytime soon remains uncertain as experts are split on when the downward trend will bottom out. Contraction was triggered by reduced foreign buyer demand and more supply flooding the market coupled with strict lending conditions and jitters over possible tax changes.
On the other hand, the cooling down provides an opportunity for first-time home buyers to buy in to suburbs which now offer more choices and are now within their price bracket. Increased affordability could help bring buyers back, but declines should remain at a slower pace to keep peak-to-trough price fall under 20 percent, experts say.