SYDNEY, Sept. 2 (Xinhua) -- Australian capital city home prices have risen more than 5 percent in the 12 months to August, according to data released on Monday by local property research firm RP Data.
The latest RP Data-Rismark Home Value Index showed prices across Australia's eight capital cities rose 5.3 percent in the year to August.
Perth recorded the biggest increase during the year, with home prices rising 9.4 percent to 499,500 AU dollars (439,400 U.S. dollars) while Sydney's home prices were up 7 percent to 587,000 AU dollars.
Hobart fared the worst, with home prices down 1.1 percent in the year.
The overall pace of home price growth in Australia's eight capital cities slowed to 0.5 percent in August, down from 1.6 percent in July.
The median capital-city house price is now 490,000 AU dollars.
RP Data research director Tim Lawless said the 0.5 rise over the month of August was a much more sustainable rate of growth.
"I think what we're seeing in August is a seasonally weak month, " he said.
"We are expecting in the spring season that there will be quite a strong market for Australian properties."
According to Lawless, the Australian property market remains attractive for investors.
"The number of finance commitments for investors is up about 20 percent on the past year," he said.
"We are seeing market conditions now being led by investors, secondly by up-graders, with first-home buyers still being a relatively small portion of overall activity."