The AFR have put together an overview for each of the capital cities in each state of Australia. Below is a quick summary of each:

Sydney (-7.31% last 12 months)

• - Top end market is suffering
• - First Home owners Boosted grants + Low interest rates are creating a floor in the housing market at the lower end
• - Homes under $500,000 are the strongest sales seen in many years
• - Cheaper to buy than rent in some areas
• -Expected flat 2009 with growth returning in 2010
• - Rising unemployment will apply pressure on Sydney house prices

Perth (-10.1% last 12 months)

• - Perth house prices likely to remian depressed for the next 12 months
• - Pace of the drop in property prices is set to slow down
• - Some perth suburbs are still growing
• - RP Data using different methodology calculates Perth’s property decline at only 6%
• - Market likley to go sideways due to rising unemployment
• - First home buyer still strong

Darwin (+10.8% last 12 months)

• - Continue to power ahead
• - Properties are selling very quickly – usually within 2 weeks if priced between $300,000 and $750,000
• - Population forecast to grow by 70% to more than 200,000 people by 2030
• - Driving growth is defence and international resource investment for gas and oil
• - Vacancy rates are negligable and average yields are 6.3% on units and 5.3% on houses
• - Darwin is Australias most expensive city at the moment to live in according to HTW’s monthly review

Adelaide (-1.9% latest 12 months)

• - First home buyer market is still very hot
• - Defence Housing Australia looking to purchase a number of sites for their recruits
• - Upper market, above $600,000, is a little slower

Brisbane (-6.3% latest 12 months)

• - Market has slowed as property prics ahve caught up with both Melbourne and Sydney
• - RP Datat only shows a fall of 3.42%
• - House prices under $500,000 have increased by as much as 10% according to Michael Matusik
• - Sales volumns are down 40% in some locations of Brisbane
• - Top end market still suffering as more properties come on tot he market than are sold

Melbourne (-6.7% latest 12 months)

• - Static prices predicted for the next 6 months and then moderate growth
• - Stability and price growth based on conitnued population growth, continued Goverment grants and a reaosnablely health economy
• - Of the top 20 growth suburbs in Melbourne, 15 had a median price of under $500,000