Greater Sydney house prices skyrocketed by 33.1 per cent – almost $400,000 – last year, climbing 6 per cent in the final quarter alone to a median of $1,601,467, Domain’s Quarterly House Price Report reveals. 

It’s the steepest annual increase since Domain records began in 1993, with house prices in half a dozen regions rising more than $500,000.

Unit price growth was more subdued but still rose 8.3 per cent annually – and a marginal 0.9 per cent last quarter – to a record high of $802,255.

Domain’s chief of research and economics Dr Nicola Powell said house prices had grown roughly four times faster than unit prices over the year, creating a record gap between the two – with houses now twice the price of units.

“The rapid escalation in price is proving to be a significant financial barrier to entry for buyers and upgraders against a backdrop of low wage growth,” Dr Powell said.

Commonwealth Bank Head of Australian economics Gareth Aird said Sydney’s phenomenal price growth, particularly for houses, not only highlighted the impact of incredibly low interest rates but were also due to the pandemic.

“We were lucky enough with the property we got, we can quite easily be in there for 10 to 15 years, but understood if we went closer to the city [our family] could only be there for two or three years. 

Source copy from: https://www.domain.com.au/news/sydney-house-prices-surge-almost-1100-a-day-but-the-market-may-have-peaked-2-1114955/