{"id":5475,"date":"2024-08-29T09:07:49","date_gmt":"2024-08-28T23:07:49","guid":{"rendered":"https:\/\/financialplus.com.au\/?p=5475"},"modified":"2024-08-29T09:07:49","modified_gmt":"2024-08-28T23:07:49","slug":"how-much-has-your-homes-value-risen-by","status":"publish","type":"post","link":"https:\/\/financialplus.com.au\/how-much-has-your-homes-value-risen-by\/","title":{"rendered":"How much has your home\u2019s value risen by?"},"content":{"rendered":"
Ask any long-term home owner what they originally paid for their property, and chances are they\u2019ll respond with an eye-wateringly low figure.<\/p>\n Plenty of Australians look back on the price they paid for their home and marvel at how low it seems relative to current values \u2013 often while breathing a sigh of relief that they bought when they did.<\/p>\n This is not a recent trend.<\/p>\n Fun fact: over the\u00a0last 100 years<\/a>, residential property values in Australia have risen by an average of 10.9% annually.<\/p>\n Sure, there can be short term dips and periods when values plateau, but the\u00a0broader trend has been upwards<\/a>.<\/p>\n In dollar terms, this price growth can be mind-boggling.<\/p>\n Take Sydney, for instance, where the median house price back in\u00a0mid-1992 was $221,770<\/a>. Thirty years later, in 2022, the median value was $1,124,421.\u00a0Today, it is $1,473,038<\/a>.<\/p>\n It\u2019s a similar story across all our major cities.<\/p>\n But what if you purchased more recently? What sort of increase in value has your home seen?<\/p>\n CoreLogic\u00a0delved into the history books<\/a>\u00a0to see how national property values have risen since the year of purchase, starting with the mid-90s.<\/p>\n Looking at the results below, it\u2019s pretty clear that the longer you\u2019ve owned your home (or investment property), the bigger the potential rise in value.<\/p>\n Buyers who purchased about 30 years ago in 1995 could find their property is now worth more than five times what they originally paid thanks to a 437% increase in value.<\/p>\n If you purchased about 20 years ago back in 2005, your home may have jumped in value by 148% (2.5 times more than you bought it for).<\/p>\n Closer to the present, homes purchased in 2020 may have seen a 34% rise in value.<\/p>\n And even if you purchased your home last year, you may have already notched up capital growth of 4%.<\/p>\n 1995:<\/strong>\u00a0437% Source:\u00a0CoreLogic article<\/a>. Direct link to\u00a0graph here<\/a>.<\/p>\n A rise in your home\u2019s value is worth much more than bragging rights at your next barbecue.<\/p>\nWe\u2019ve all heard the rule of thumb about property being a long-term investment. Well, get this: many home owners have seen the value of their property quintuple within the timeframe of a typical 30-year mortgage.<\/strong><\/p>\n
Property has a strong track record for growth<\/h3>\n
How much have home values increased since you purchased?<\/h3>\n
Increase in national home values since year of purchase<\/h3>\n
\n2000:<\/strong>\u00a0308%
\n2005:<\/strong>\u00a0148%
\n2010:<\/strong>\u00a094%
\n2015:<\/strong>\u00a057%
\n2020:<\/strong>\u00a034%
\n2023:<\/strong>\u00a04%<\/p>\nWhy a rise in your home\u2019s value matters<\/h3>\n