Residential property prices reached their strongest annual growth on record last year, rising 23.7% in the last 12 months.

According to the Australian Bureau of Statistics residential property prices index report, which began reporting in 2003, the total value of the nation’s 10.8m homes grew by $2tn to a record $9.9tn last year.

Australia’s property market has seen astronomical growth, spurred by record-low interest rates and government stimulus.

Each capital city recorded price surges, with Hobart (+29.8%), Canberra (+28.8%), Brisbane (+27.8%), Sydney (+26.7%), and Adelaide (+23.9%) all showing the largest annual rises.

Melbourne (+20.0%) had the largest annual rise since the June quarter of 2010 while Perth rose 15.7% and Darwin rose 13.0% through the year.

The rise means real estate value in Australia has now reached $9.9tn, with the mean price of residential dwellings going up a further $44,000 to hit $920,100 across the country.

It comes just weeks after a report from the National Housing Finance and Investment Corp revealed the average first homebuyer is locked out of 70% of the housing market.

The report found First homebuyers now need nine years to save a deposit compared to four years in the 1990s.

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