Marquardt mentioned the rise in electrical energy prices was impacted by the unwinding of the $400 electrical energy mortgage supplied to all houses in Western Australia, however was partially offset by ongoing rebates in Queensland and Tasmania.
In December, the Reserve Financial institution raised official rates of interest to a 10-year excessive of three.1 % in a bid to restrain family spending and comprise inflation.
Increased rates of interest have pushed up mortgage repayments for a lot of Australians – by greater than $1400 a month for these with a $750.00 mortgage since money charges first started to rise final April.
These greater rates of interest have taken a number of the warmth off the true property market. A Area Home Worth Report launched on Wednesday reveals that home costs in Sydney fell 10.9 per cent final yr, the steepest drop on report however nonetheless almost 25 per cent off the 2020 low.
In Melbourne, costs fell 5.6 % from 2022 however stay 17.2 % above the market’s mid-2020 low.
The price of constructing new houses rose 1.7 % within the December quarter, slower than earlier quarters however nonetheless sooner than historic norms, Marquardt mentioned. Annual inflation for brand new houses was 17.eight %.
“Labor and materials prices are driving value progress on this space and there are indicators that materials value pressures are easing,” she mentioned.
NAB chief economist Alan Oster mentioned information confirmed spending eased after a November surge however discretionary spending remained robust.
“The decline in retail might mirror modifications in seasonal spending patterns, with Black Friday and early Christmas buying doubtlessly driving spending forward of December,” he mentioned.
“Whereas whole spending rose 1.6 % within the December quarter, that is the slowest quarterly progress charge this yr and quantity progress is prone to be decrease given still-high inflation.”
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