Property market soars in January

Australia’s housing market has enjoyed a strong start to 2010, according to RP Data’s Hedonic Home Value Index. The property market registered a solid 1.8% capital gain in the month of January 2010, based on indicative index results.

The average monthly growth rate for January 2010 was 0.7%, suggesting the double digit capital gains seen in 2009 may start to moderate to historic single digit levels.

But despite the low monthly growth rate statistic, RP Data’s national research director Tim Lawless said other results including capital gain and auction clearance rates, suggest the market has started the year with some confidence.

“Auction volumes are higher than at the same time last year and the national weighted clearance rate last week was a very healthy 73 per cent,” Mr Lawless said.