While generally it’s been the case in the past few years that one capital city property market seems to take off and leave the others behind, new figures show the pace of growth is now starting to even out.

Cotality says property price growth rates across Australia’s capital cities have tightened to the narrowest range in more than four years.

In May, the difference between the highest and lowest annual growth rates was just 9.8% with both Perth and Adelaide dwelling values up 8.6% and Melbourne down 1.2%. The differential in August between the highest growth and lowest growth was  26.1%.

Cotality Research Director Tim Lawless says the data signals a changing dynamic in Australia’s housing market. “The convergence of growth rates is attributable to the pace of capital gains slowing across the mid-sized capitals while previously soft markets like Melbourne, ACT and Hobart move back into a positive growth position,” he says. “Growth across Perth, Adelaide and Brisbane has slowed amid worsening affordability constraints, reduced interstate migration, and a drop in investment demand.”