House prices maintain positive growth

According to figures released by Residex this week, Australian house values managed to grow by just under 3% in the year to November 2008.

The median value of the Australian home grew 2.97% to $398,500. This is compared to growth of 9.88% the previous year. It is still a strong result compared to share markets, which lost around 40% in value over 2008.

The median unit value grew by 3.94% compared to 6.41% in the 12 months to November 2007.

Residex said it expected capital growth to remain subdued for the next five years, given the current economic climate. It forecasts Australian houses and units to grow at an average rate of 2.96% and 1.49% respectively per annum over the next five years.