Capital city house prices slip in December 2008 quarter

Figures released by the Bureau of Statistics (ABS) show the weighted average national house price dropped by 3.3% in the year to December 2008.

The 3.3% decline is slightly higher than the 2.6% annual decline in the national dwelling value reported by RP Data last week, but still indicates that Australia's property prices have held up better than many overseas markets.

According to the ABS, Darwin was the strongest performer over the last quarter of 2008 and over the year, recording house price growth of 1.6% and 3.8% respectively.

Perth continued to slump significantly recording an annual change in price of -6.7%.

Adelaide and Canberra were the only capitals besides Darwin to record positive house price growth over the year; the two cities’ property values grew by 0.3% and 0.7% respectively.