Graph and download economic data for Real Residential Property Prices for Australia (QAUR368BIS) from Q1 1971 to Q3 2024 about Australia, residential, housing, real, and price.

The average price of Australian residential property has risen over the past ten years, and in September 2024, it reached a new high of 985,900 Australian dollars. Nonetheless, property experts in Australia have indicated that the country has been in a property bubble over the past decade, with some believing the market will collapse sometime in the near future. Property prices started declining in 2022; however, a gradual upward trend was witnessed throughout 2023 and 2024. Australian capital city price differences While the national average residential property price has exhibited growth, individual capital cities display diverse trends, highlighting the complexity of Australia’s property market. Sydney maintains its position as the most expensive residential property market across Australia's capital cities, with a median property value of approximately 1.19 million Australian dollars as of December 2024. Brisbane has emerged as an increasingly pricey capital city for residential property, surpassing both Canberra and Melbourne in median housing values. Notably, Perth experienced the most significant annual increase in its average residential property value, with a 19.1 percent increase from December 2023, despite being a comparably more affordable market. Hobart and Darwin remain the most affordable capital cities for residential properties in the country. Is the homeownership dream out of reach? The rise in property values coincides with the expansion of Australia's housing stock. In the September quarter of 2024, the number of residential dwellings reached around 11.25 million, representing an increase of about 53,100 dwellings from the previous quarter. However, this growth in housing supply does not necessarily translate to increased affordability or accessibility for many Australians. The country’s house prices remain largely disproportional to income, leaving the majority of low and middle-income earners priced out of the market. Alongside this, hikes in mortgage interest rates have made taking out a loan increasingly unappealing for many potential property owners, and the share of mortgage holders at risk of mortgage repayment stress has continued to climb.

Australia’s real house price index reached 122.9 in the third quarter of 2024, continuing the upward trend since the second quarter of 2023. House prices fluctuated over the reported period compared to the base year of 2015, experiencing a sharp increase throughout 2021, with the country’s house price index peaking in the first quarter of 2022 at 130.9. Prospective homeowners priced out of the market Recent house price increases reflect the ongoing challenges of housing affordability in Australia. Property prices largely outpace income growth, reigniting discussions about whether the country is stuck in a property bubble, a topic that has been debated for over a decade. The country’s house price-to-income ratio exceeded 122 in the third quarter of 2024, the highest ratio recorded over the past five years, making it increasingly difficult to get on the property ladder. Unaffordable rental conditions Australia’s rental market has also seen challenges, with the rent price index continuing to climb throughout 2024, making the prospect of renting less appealing. As of September 2024, the average weekly house rent price in Sydney stood at 775 Australian dollars, the highest across the country’s major cities. Canberra, Darwin, and Perth were the next most expensive markets for house rents, while Hobart was the most affordable capital city for both house and unit rent prices.

In the metropolitan area of Melbourne, Australia, the median home price was approximately 860,000 Australian dollars in the year 2023. In 2022, the median house price was about 890,000 Australian dollars.

Residential house prices across the capital cities in Australia increased by 23.7 percent through the year to December 2021. Housing affordability in Australia remains a highly political topic with many prospective home buyers feeling priced out of the market.

Australia Standardised Price-Income Ratio: sa data was reported at 148.954 Ratio in Dec 2024. This records a decrease from the previous number of 151.643 Ratio for Sep 2024. Australia Standardised Price-Income Ratio: sa data is updated quarterly, averaging 82.658 Ratio from Mar 1970 (Median) to Dec 2024, with 220 observations. The data reached an all-time high of 152.504 Ratio in Jun 2024 and a record low of 62.564 Ratio in Sep 1983. Australia Standardised Price-Income Ratio: sa data remains active status in CEIC and is reported by Organisation for Economic Co-operation and Development. The data is categorized under Global Database’s Australia – Table AU.OECD.AHPI: House Price Index: Seasonally Adjusted: OECD Member: Quarterly. Nominal house prices divided by nominal disposable income per head. Net household disposable income is used. The population data come from the OECD national accounts database. The long-term average is calculated over the whole period available when the indicator begins after 1980 or after 1980 if the indicator is longer. This value is used as a reference value. The ratio is calculated by dividing the indicator source on this long-term average, and indexed to a reference value equal to 100.

Sydney had the highest median house value compared to other capital cities in Australia as of December 2024, with a value of over 1.47 million Australian dollars. Brisbane similarly had relatively high average residential housing values, passing Canberra and Melbourne to top the pricing markets for real estate across the country alongside Sydney. Housing affordability in Australia Throughout 2024, the average price of residential dwellings recovered across Australia, with most capital cities breaking price records despite interest rate hikes. Rising house prices continue to be an issue for potential homeowners, with many low and middle-income earners priced out of the market. In the third quarter of 2024, Australia’s house price-to-income ratio reached new heights at 122.1 index points. With the share of household income spent on mortgage repayments increasing alongside the disparity in supply and demand, inflating construction costs, and low borrowing capacity, the homeownership dream has become an unattainable prospect for the average person in Australia. Does the rental market offer better prospects? Renting for prolonged periods has become inevitable for many Australians due to the country’s largely inaccessible property ladder. However, record low vacancy rates and rising median weekly house and unit rent prices within Australia’s rental market are making renting a less appealing prospect. In financial year 2024, households in the Greater Sydney metropolitan area reported spending around 30 percent of their household income on rent.

Real residential property prices Y-on-Y, percent change in Australia, September, 2024 The most recent value is 4.24 percent as of Q3 2024, a decline compared to the previous value of 4.82 percent. Historically, the average for Australia from Q1 1990 to Q3 2024 is 3.03 percent. The minimum of -12.29 percent was recorded in Q1 2023, while the maximum of 19.49 percent was reached in Q4 2021. | TheGlobalEconomy.com

Australia Consumer Price Index (CPI): Weights: Housing: Other: Property Rates & Charges data was reported at 1.440 % in Dec 2024. This stayed constant from the previous number of 1.440 % for Sep 2024. Australia Consumer Price Index (CPI): Weights: Housing: Other: Property Rates & Charges data is updated quarterly, averaging 1.540 % from Sep 2017 (Median) to Dec 2024, with 30 observations. The data reached an all-time high of 1.630 % in Sep 2021 and a record low of 1.440 % in Dec 2024. Australia Consumer Price Index (CPI): Weights: Housing: Other: Property Rates & Charges data remains active status in CEIC and is reported by Australian Bureau of Statistics. The data is categorized under Global Database’s Australia – Table AU.I010: Consumer Price Index: Weights: 17th Series.

The house price-to-income ratio in Australia was 122.1 as of the third quarter of 2024. This ratio, calculated by dividing nominal house prices by nominal disposable income per head, increased from the previous quarter. The price-to-income ratio can be used to measure housing affordability in a specific area. Australia's property bubble There has been considerable debate over the past decade about whether Australia is in a property bubble or not. A property bubble refers to a sharp increase in the price of property that is disproportional to income and rental prices, followed by a decline. In Australia, rising house prices have undoubtedly been an issue for many potential homeowners, pricing them out of the market. Along with the average house price, high mortgage interest rates have exacerbated the issue. Is the homeownership dream out of reach? Housing affordability has varied across the different states and territories in Australia. In 2024, the median value of residential houses was the highest in Sydney compared to other major Australian cities, with Brisbane becoming an increasingly expensive city. Nonetheless, expected interest rate cuts in 2025, alongside the expansion of initiatives to improve Australia's dwelling stock, social housing supply, and first-time buyer accessibility to properties, may start to improve the situation. These encompass initiatives such as the Australian government's Help to Buy scheme and the Housing Australia Future Fund Facility (HAFFF) and National Housing Accord Facility (NHAF) programs.

Key information about Australia Real Residential Property Price Index Growth

• Australia Real Residential Property Price Index Growth was reported at 4.236 % in Sep 2024.
• This records a decrease from the previous number of 4.821 % for Jun 2024.
• Australia Real Residential Property Price Index Growth data is updated quarterly, averaging 2.459 % from Mar 1971 to Sep 2024, with 215 observations.
• The data reached an all-time high of 28.785 % in Mar 1989 and a record low of -12.290 % in Mar 2023.
• Australia Real Residential Property Price Index Growth data remains active status in CEIC and is reported by Bank for International Settlements.
• The data is categorized under World Trend Plus’s Association: Property Sector – Table RK.BIS.RPPI: Selected Real Residential Property Price Index: 2010=100: Quarterly: YoY %.

Portugal, Canada, and the United States were the countries with the highest house price to income ratio in 2023. In all three countries, the index exceeded 130 index points, while the average for all OECD countries stood at 117.5 index points. The index measures the development of housing affordability and is calculated by dividing nominal house price by nominal disposable income per head, with 2015 set as a base year when the index amounted to 100. An index value of 120, for example, would mean that house price growth has outpaced income growth by 20 percent since 2015. How have house prices worldwide changed since the COVID-19 pandemic? House prices started to rise gradually after the global financial crisis (2007–2008), but this trend accelerated with the pandemic. The countries with advanced economies, which usually have mature housing markets, experienced stronger growth than countries with emerging economies. Real house price growth (accounting for inflation) peaked in 2022 and has since lost some of the gain. Although, many countries experienced a decline in house prices, the global house price index shows that property prices in 2023 were still substantially higher than before COVID-19. Renting vs. buying In the past, house prices have grown faster than rents. However, the home affordability has been declining notably, with a direct impact on rental prices. As people struggle to buy a property of their own, they often turn to rental accommodation. This has resulted in a growing demand for rental apartments and soaring rental prices.

Key information about Australia Nominal Residential Property Price Index

• Australia Nominal Residential Property Price Index was reported at 194.344 2010=100 in Sep 2024.
• This records an increase from the previous number of 192.070 2010=100 for Jun 2024.
• Australia Nominal Residential Property Price Index data is updated quarterly, averaging 32.952 2010=100 from Mar 1970 to Sep 2024, with 219 observations.
• The data reached an all-time high of 194.344 2010=100 in Sep 2024 and a record low of 3.127 2010=100 in Mar 1970.
• Australia Nominal Residential Property Price Index data remains active status in CEIC and is reported by Bank for International Settlements.
• The data is categorized under World Trend Plus’s Association: Property Sector – Table RK.BIS.RPPI: Selected Nominal Residential Property Price Index: 2010=100: Quarterly.

Australia Consumer Price Index (CPI): Hobart: Housing: Other: Property Rates & Charges data was reported at 169.000 2011-2012=100 in Dec 2024. This stayed constant from the previous number of 169.000 2011-2012=100 for Sep 2024. Australia Consumer Price Index (CPI): Hobart: Housing: Other: Property Rates & Charges data is updated quarterly, averaging 100.000 2011-2012=100 from Jun 1998 (Median) to Dec 2024, with 107 observations. The data reached an all-time high of 169.000 2011-2012=100 in Dec 2024 and a record low of 48.500 2011-2012=100 in Jun 1998. Australia Consumer Price Index (CPI): Hobart: Housing: Other: Property Rates & Charges data remains active status in CEIC and is reported by Australian Bureau of Statistics. The data is categorized under Global Database’s Australia – Table AU.I007: Consumer Price Index: 2011-12=100: Eight Capital Cities.

In the June quarter of 2024, the average residential property price in Queensland exceeded 885 thousand Australian dollars. This marked the highest quarterly mean dwelling price in Queensland during the reported period.

Building Approved: Chain Volume: 2012-13: Building: Residential: New: Houses data was reported at 7,640.800 AUD mn in Jun 2015. This records an increase from the previous number of 6,895.300 AUD mn for Mar 2015. Building Approved: Chain Volume: 2012-13: Building: Residential: New: Houses data is updated quarterly, averaging 5,399.400 AUD mn from Sep 1970 to Jun 2015, with 180 observations. The data reached an all-time high of 8,056.600 AUD mn in Dec 2009 and a record low of 3,130.400 AUD mn in Mar 1975. Building Approved: Chain Volume: 2012-13: Building: Residential: New: Houses data remains active status in CEIC and is reported by Australian Bureau of Statistics. The data is categorized under Global Database’s Australia – Table AU.EA010: Building Approved: Value: 2012-13 Prices.

Australia Consumer Price Index (CPI): Hobart: Housing: New Dwelling Purchase by Owner-Occupiers data was reported at 174.200 2011-2012=100 in Dec 2024. This records a decrease from the previous number of 174.700 2011-2012=100 for Sep 2024. Australia Consumer Price Index (CPI): Hobart: Housing: New Dwelling Purchase by Owner-Occupiers data is updated quarterly, averaging 96.500 2011-2012=100 from Jun 1998 (Median) to Dec 2024, with 107 observations. The data reached an all-time high of 176.600 2011-2012=100 in Mar 2024 and a record low of 52.700 2011-2012=100 in Jun 1999. Australia Consumer Price Index (CPI): Hobart: Housing: New Dwelling Purchase by Owner-Occupiers data remains active status in CEIC and is reported by Australian Bureau of Statistics. The data is categorized under Global Database’s Australia – Table AU.I007: Consumer Price Index: 2011-12=100: Eight Capital Cities.

The rent price index in Australia in the fourth quarter of 2024 was 120.7, marking an increase from the same quarter of the previous year. Rent prices had decreased in 2020; in Melbourne and Sydney, this was mainly attributed to the absence of international students during the coronavirus outbreak. The current state of the rental market in Australia The rental market in Australia has been marked by varying conditions across different regions. Among the capital cities, Sydney and Melbourne have long been recognized for having some of the highest average rents. As of September 2024, the average weekly rent for a house in Sydney was 775 Australian dollars, which was the highest average rent across all major cities in Australia that year. Furthermore, due to factors like population growth and housing demand, regional areas have also seen noticeable increases in rental prices. For instance, households in the non-metropolitan area of New South Wales’s expenditure on rent was around 30 percent of their household income in the year ending June 2024. Housing affordability in Australia Housing affordability remains a significant challenge in Australia, contributing to a trend where many individuals and families rent for prolonged periods. The underlying cause of this issue is the ongoing disparity between household wages and housing costs, especially in large cities. While renting offers several advantages, it is worth noting that the associated costs may not always align with the expectation of affordability. Approximately one-third of participants in a survey conducted in 2023 stated that they pay between 16 and 30 percent of their monthly income on rent. Recent government initiatives such as the 2024 Help to Buy scheme aim to make it easier for people across Australia to get onto the property ladder. Still, the multifaceted nature of Australia’s housing affordability problem requires continued efforts to strike a balance between market dynamics and the need for accessible housing options for Australians.

Australia Consumer Price Index (CPI): Weights: Housing: Other: Maintenance & Repair of the Dwelling data was reported at 2.030 % in Dec 2024. This stayed constant from the previous number of 2.030 % for Sep 2024. Australia Consumer Price Index (CPI): Weights: Housing: Other: Maintenance & Repair of the Dwelling data is updated quarterly, averaging 2.150 % from Sep 2017 (Median) to Dec 2024, with 30 observations. The data reached an all-time high of 2.330 % in Sep 2021 and a record low of 2.030 % in Dec 2024. Australia Consumer Price Index (CPI): Weights: Housing: Other: Maintenance & Repair of the Dwelling data remains active status in CEIC and is reported by Australian Bureau of Statistics. The data is categorized under Global Database’s Australia – Table AU.I010: Consumer Price Index: Weights: 17th Series.

Australia PPI: Output: Rental, Hiring & Real Estate Services: Non Residential Property Operators data was reported at 134.500 2011-2012=100 in Dec 2024. This records an increase from the previous number of 133.400 2011-2012=100 for Sep 2024. Australia PPI: Output: Rental, Hiring & Real Estate Services: Non Residential Property Operators data is updated quarterly, averaging 99.250 2011-2012=100 from Mar 1996 (Median) to Dec 2024, with 116 observations. The data reached an all-time high of 134.500 2011-2012=100 in Dec 2024 and a record low of 60.000 2011-2012=100 in Mar 1996. Australia PPI: Output: Rental, Hiring & Real Estate Services: Non Residential Property Operators data remains active status in CEIC and is reported by Australian Bureau of Statistics. The data is categorized under Global Database’s Australia – Table AU.I032: Producer Price Index: 2011-12=100: ANZSIC 2006: Services Industries.