Combined dwelling prices across Australia fell by 0.9% during May, the first monthly fall seen since November last year.
The latest CoreLogic RP Data Home Value Index shows that despite falling 0.7% in May, Sydney is still the best performing capital city market, with quarterly growth of 3.3% and annual growth of 15%.
Melbourne's result was more subdued with values falling 1.7% in May, however annual growth is still strong at 9%.
The weaker results in Sydney and Melbourne may be short lived however, with auction clearance rates being at close to record highs throughout May, along with low advertised stock levels particularly in Sydney.
Highlights over the three months to May 2015
- Best performing capital city: Sydney +3.3 per cent
- Weakest performing capital city: Hobart -0.9 per cent
- Highest rental yields: Darwin houses with gross rental yield of 5.6 per cent and Darwin Units at 5.8 per cent
- Lowest rental yields: Melbourne houses with gross rental yield of 3.2 per cent and Melbourne units at 4.3 per cent
- Most expensive city: Sydney with a median dwelling price of $752,000
- Most affordable city: Hobart with a median dwelling price of $328,000
The full CoreLogic RP Data results and commentary can be viewed here.