The value of Canberra homes dropped by 3.5 per cent over the past three months, according to the latest figures issued by RP Data-Rismark.

The International Home Value Index also showed the median price for homes sold in the quarter was $529,000.

The nation's capital registered a 1.3 per cent drop in values in November, but despite the recent falls, the year-on-year figures still show Canberra in the black, with an increase in home values of 0.8 per cent. RP Data research analyst Cameron Kusher said unit values were down 0.4 per cent in that period.

“I think what we are seeing is that the market’s confidence is being dinted by the fact that the Government is talking about job cuts but no one knows where or who at the moment.  As a result, the market seems to just be in a holding pattern at the moment," he said.

For the quarterly figures, it was houses bringing down the average in Canberra; the average value of units rose 0.1 per cent, while house values dropped 3.8 per cent.

In November, the value of units was down 1.7 per cent compared with houses down 1.3 per cent.

The fall in the quarterly figures was not the biggest in the country though. Hobart dwellings registered a 4.7 per cent drop.

All other capital cities recorded growth over the same period, from 1.1 per cent in Brisbane to 5.8 per cent in Sydney.

Nationally, the figures show only moderate growth for home values of 0.1 percent across the capital cities in November, but that went against the upward trend for the year, with combined capital city home values 8.3 per cent higher for 2013 so far.

“Overall we think that the capital city rate of value growth may have peaked for this cycle and we would be surprised if Canberra is immune from these conditions,” Mr Kusher said.

“In saying this, it seems unlikely that values will continue to fall by 3.5 percent quarter-on-quarter.”

For investment properties, Canberra fares relatively well, with above average rental yields of 4.5 per cent for houses compared to a national average of 4 per cent and 5.3 per cent return for units compared to the 4.7 per cent national benchmark.

Mr Kusher warned unit values might drop further with relatively high level of unit approvals across the city having the potential to create further downward pressure.