RP Data highlights modest growth in capital property prices

Real estate in the city of Knox may receive a boost after RP Data reported that nationally speaking, property buying habits are slowly returning to late 2008 patterns.

Information from the property experts show that capital cities are seeing modest growth in their median property prices but are still historically down.

Senior research analyst with RP Data, Cameron Kusher said to the Knox Leader that post Global Financial Crisis, real estate in each market place was seeing growth.

He commented: "The low mortgage rate environment and incentives for first-time buyers saw the more affordable sectors of the market begin to grow first, followed by the premium housing market which shortly thereafter took over as the strongest-performing sector.

"This may provide some insight as to how any future recovery in the housing sector may take place."

After bottoming out in May of this year, the residential property sector has recorded a 2.1 per cent growth to October 2012.

Mr Kusher added that most of the improvement was seen in areas that were traditionally more affordable.

He told the publication that current conditions such as interest rates and improving housing affordability is breathing life back into the market.