The latest core logic house price data showed mixed results across Australia's major housing markets with Melbourne and Hobart posting healthy 1.9% and 3.3% quarterly gains, whereas Sydney joined Darwin in the fallers club by handing in quarterly falls of 1.3% and 2.7% respectively.
According to CoreLogic, Sydney's property prices have now been sliding every month since peaking in July 2017.
However, as CoreLogic points out the rate of decline is "extremely modest", especially in the context of the city's 5-year property bull market since 2012.
Over the past year Hobart has been Australia's property hot spot delivering annual gains of 17.1%, whereas the traditional engine rooms of capital growth Melbourne and Sydney delivered annual growth of 10.1% and 5% respectively.
Brisbane remains one of the steadiest major property markets with price growth of 6.7% over the past year.
Nationally property prices are up 5.2% over the year, which is no surprise given the record low interest rates of 1.5% fuelling borrowing capacities.
As such the question for property buyers is whether prices will hold up over the next 12-24 months if the Reserve Bank joins the U.S. and European central banks in embarking on a gentle rate hiking cycle.
If you're not bullish on the outlook for property prices an alternative in the share market could be the likes of REA Group Limited (ASX: REA) or Domain Holdings Group (ASX: DHG).
