Are property prices doubling every decade? According to a recent research carried out by CoreLogic RP Data, the fact that property prices double every decade could be a myth.
The research revealed that over the past 10 years to January 2016, home values across the combined capital cities have increased by a total of 72.0%. Comparing these figures to the previous decade, January 1996 and January 2006, there had been a significant difference with a total increase of previous capital city home values by 151.7%. Based on this data, the most recent decade has been half of the previous decade.
So what about the next 10 years? If we look at the last 5 years of property values, ‘Sydney and Melbourne are the only capital cities in which home values have increased by more than 10%’ and if we look at all the figures combined, it looks to be highly unlikely there will be a price double in property value by January 2021.
To sum it up, the data received by CoreLogic RP Data suggests that rapid value rises in property prices are well behind us.
Source: CoreLogic RP Data