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.

Graph and download economic data for Real Residential Property Prices for Australia (QAUR628BIS) from Q1 1970 to Q4 2024 about Australia, residential, HPI, housing, real, price index, indexes, and price.

The average price of Australian residential property has risen over the past ten years, and in December 2024, it reached 976,800 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, with minor fluctuations in 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 April 2025. 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 10 percent increase from April 2024, 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 December quarter of 2024, the number of residential dwellings reached around 11.29 million, representing an increase of about 53,200 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, elevated mortgage interest rates in recent years 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.

Key information about House Prices Growth

• Australia house prices grew 2.9% YoY in Dec 2024, following an increase of 5.8% YoY in the previous quarter.
• YoY growth data is updated quarterly, available from Sep 2004 to Dec 2024, with an average growth rate of 5.8%.
• House price data reached an all-time high of 24.1% in Dec 2021 and a record low of -6.1% in Mar 2019.

CEIC calculates quarterly House Price Index Growth from quarterly Residential Dwellings: Mean Price of Eight Capital Cities. The Australian Bureau of Statistics provides Residential Dwellings: Mean Price of Eight Capital Cities in local currency. House Price Index Growth prior to Q3 2012 is calculated from Residential Property Price Index: Weighted Average of Eight Capital Cities.

Average House Prices in Australia increased to 1002.50 AUD Thousand in the first quarter of 2025 from 995.60 AUD Thousand in the fourth quarter of 2024. This dataset includes a chart with historical data for Australia Mean Dwelling Price.

The median house price in Geelong, Victoria rose from ***** thousand Australian dollars in the second quarter of 2019 to *** thousand Australian dollars in the same period in 2020. The house price in regional cities in Victoria mostly increased during that period.

Housing Index in Australia increased to 183.90 points in the fourth quarter of 2021 from 175.60 points in the third quarter of 2021. This dataset provides the latest reported value for - Australia House Price Index - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

The average housing costs for Australian renters of private property amounted to 415 Australian dollars per week in 2020. In 2022, between 21 to 29 percent of the household income of renters was spent on rent across the country.

Short-term impact of the coronavirus pandemic

With the global outbreak of COVID-19, the historically strong Australian housing market is not immune. In the short-term, the country saw a drop in rental housing demand as a direct result of migration ceasing, falling overseas student numbers, and younger people opting to stay home. With travel opening up, a spike in rental vacancy rates is expected, with short-term rentals, such as those from travel websites, suddenly flooding the long-term rental market. The influx of housing may ease pressure on potential tenants in certain areas, and it may have the carry-on effect of rental costs stabilizing, or in some cases declining. In the inner suburbs of Sydney and Melbourne, for instance, there has already been a significant increase in rental listings compared to the previous year.

Residential Property Prices in Australia increased 5.45 percent in December of 2024 over the same month in the previous year. This dataset includes a chart with historical data for Australia Residential Property Prices.

Australia GVA: 2020-21p: sa: QoQ: Rental, Hiring & Real Estate Services: Property Operators and Real Estate Services data was reported at 2.700 % in Jun 2023. This records an increase from the previous number of -2.700 % for Mar 2023. Australia GVA: 2020-21p: sa: QoQ: Rental, Hiring & Real Estate Services: Property Operators and Real Estate Services data is updated quarterly, averaging 0.800 % from Dec 1994 (Median) to Jun 2023, with 115 observations. The data reached an all-time high of 9.500 % in Sep 2020 and a record low of -18.000 % in Jun 2020. Australia GVA: 2020-21p: sa: QoQ: Rental, Hiring & Real Estate Services: Property Operators and Real Estate Services 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.A224: SNA08: Gross Value Added: by Industry: Chain Linked: 2020-21 Price: Seasonally Adjusted: QoQ Percentage.

CoreLogic Dwelling Prices MoM in Australia increased to 0.60 percent in June from 0.50 percent in May of 2025. This dataset includes a chart with historical data for Australia CoreLogic Dwelling Prices MoM.

Australia GVA: 2020-21p: Trend: Rental, Hiring & Real Estate Services: Property Operators and Real Estate Services data was reported at 11,926.000 AUD mn in Mar 2019. This records an increase from the previous number of 11,903.000 AUD mn for Dec 2018. Australia GVA: 2020-21p: Trend: Rental, Hiring & Real Estate Services: Property Operators and Real Estate Services data is updated quarterly, averaging 8,446.000 AUD mn from Sep 1994 (Median) to Mar 2019, with 99 observations. The data reached an all-time high of 12,264.000 AUD mn in Mar 2017 and a record low of 5,936.000 AUD mn in Sep 1994. Australia GVA: 2020-21p: Trend: Rental, Hiring & Real Estate Services: Property Operators and Real Estate Services 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.A192: SNA08: Gross Value Added: by Industry: Chain Linked: 2020-21 Price: Trend.

Changing trends in building investment have exposed the Land Development and Subdivision industry to wide annual fluctuations in the price and volume of land sales. The volume of greenfield land sales for residential projects more than doubled from a low in 2018-19 to a peak in 2020-21, corresponding with the surge in single-unit dwelling commencements in response to the Federal Government's HomeBuilder stimulus and historically low interest rates. However, the reversal of this stimulus and hiked mortgage interest rates since 2021-22 have stifled demand. Revenue is expected to have plunged at an annualised 10.0% over the five years through 2024-25 to $15.7 billion. This trend includes an anticipated minor recovery in revenue of 1.7% in 2024-25. Developers focusing on high-density land for non-residential building projects have benefited from the upswing in investment in this market since a pandemic-induced dip in 2020-21. Robust growth in commercial and industrial land development for offices, transport terminals and warehousing projects has provided opportunities to commercial property developers like Frasers Property Australia and Salta Properties. Still, the slump in single-unit house investment since the 2021-22 peak has dampened residential land development and subdivisions by some of the industry’s largest developers, like Satterley, Peet Limited, Avid Property Group and AVJennings. Intense conditions in the residential land market and supply chain blockages following the COVID-19 outbreak have dampened industry profitability. The industry's performance will rebound in response to improving land development opportunities in high-density apartment and townhouse construction. Mounting population pressures, higher residential house prices, Federal Government stimulus under the Housing Australia Future Fund (HAFF) and the construction of build-to-rent (BTR) developments will underpin this construction activity. Opportunities will gradually emerge for developing single-unit housing blocks and subdivisions, but investment will be sluggish in the non-residential building market. The median value of residential developments will rebound on the back of higher residential housing prices and the gradually rising volume of residential land development to meet increasing dwelling commencements. Industry revenue is forecast to climb at an annualised 5.6% over the five years through 2029-30, to $20.6 billion.

Homeowners with a mortgage accounted for the largest share of occupancy types for households across Australia in financial year 2020, at 36.8 percent. Homeowners in Australia have had to compete with rising housing related costs, with high house price to income ratios in recent years.

The average value of outstanding mortgages on Australian residential property has increased over the past 20 years, and in 2020 reached a high of 275 thousand Australian dollars. 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 some time in the near future.

The office property sector has faced considerable headwinds from recent economic disruptions, including the lingering effects of the COVID-19 pandemic and a series of interest rate hikes. These dynamics and the rapid shift to remote and hybrid work models have diminished demand for traditional office spaces. Nonetheless, premium and A-grade offices in key CBD locations continue to attract stable, high-quality tenants, even as tighter Foreign Investment Review Board (FIRB) regulations have curbed foreign investment and spurred a turn towards domestic capital. Overall, industry revenue is anticipated to have fallen at an annualised 4.3% over the past five years and is expected to total $32.7 billion in 2024-25, when revenue will drop by an estimated 4.5%. Rising financing and maintenance costs have squeezed operating margins alongside evolving tenant demands. From 2020 to 2023, the sector experienced declining rental yields and prolonged lease renegotiations as businesses sought more flexible workspace arrangements. Operators have increasingly turned to technology-driven solutions and outsourcing to reduce wage expenses, yet the burden of capital expenditure and higher borrowing costs remains significant. Despite efforts to streamline operations through advanced property management systems, these cumulative cost pressures continue to erode profitability, leaving operators cautious about committing to new developments in an uncertain economic environment. Looking ahead, Australia’s recovering economy offers both promise and hurdles for office property operators. A revival in business confidence and gradually easing monetary policy are forecast to drive domestic investment, although the rise of flexible workspaces will continue to challenge traditional leasing models. Developers are responding by upgrading premium assets with modern amenities targeted at evolving tenant needs. Moreover, policy adjustments from the FIRB are set to reawaken interest from foreign and institutional investors, prompting a greater flow of capital into the industry. This combination of factors is set to culminate in annualised revenue growth of 3.3% over the five years through 2029-30 to $38.4 billion.

The Asia-Pacific real estate brokerage market, valued at $368.41 million in 2025, is projected to experience robust growth, driven by factors such as increasing urbanization, rising disposable incomes, and a burgeoning middle class across the region. This expansion is particularly noticeable in rapidly developing economies like India and Southeast Asia, where demand for residential and commercial properties is soaring. The market's segmentation reveals a strong presence of both residential and non-residential brokerage services, with sales dominating over rentals. While China, India, and Japan currently hold significant market shares, countries like Australia and South Korea also contribute substantially, exhibiting a balanced distribution of activity across the region. Key players like CBRE Group, JLL, and Cushman & Wakefield are leveraging technological advancements to enhance their service offerings and compete effectively, while smaller, regional firms are capitalizing on niche market opportunities. The 4.21% CAGR projected through 2033 indicates sustained growth potential, fueled by continuous infrastructure development and government initiatives promoting real estate investment. However, potential challenges include fluctuating economic conditions, regulatory changes impacting property transactions, and competition from emerging online platforms. The continued expansion of the Asia-Pacific real estate market is fueled by strong economic growth in several key regions. The increasing demand for both residential and commercial properties, coupled with the rise of proptech and the adoption of innovative technologies by brokerage firms, contribute to the market's dynamism. While established players continue to dominate the market landscape, the presence of smaller, localized firms and the emergence of online platforms creates a competitive environment fostering innovation and efficiency. Government policies and infrastructure development further support growth, although potential macroeconomic risks and regulatory uncertainty need consideration for accurate market projections. Careful market segmentation analysis, considering factors like property type, service offered, and geographic location, is critical for successful investment and strategic planning within this expanding sector. Recent developments include: June 2024: Knight Frank, a prominent global property consultancy, in collaboration with Bayleys, New Zealand's premier full-service real estate firm, successfully acquired McGrath Limited, a key player in the Australian residential real estate market. This acquisition, achieved through a controlling stake purchase via a scheme of arrangement, marks a significant milestone for both entities., June 2024: REA Group disclosed its complete acquisition of Realtair, an Australian proptech firm. In 2020, REA Group made an initial investment in Realtair, securing a 37% stake in the company. This acquisition is set to bolster REA Group's agency services strategy, ensuring customers have access to top-tier digital tools at every stage of their property transactions.. Key drivers for this market are: 4., Increasing Urbanization Driving the Market4.; Regulatory Environment Driving the Market. Potential restraints include: 4., Increasing Urbanization Driving the Market4.; Regulatory Environment Driving the Market. Notable trends are: Demand for Residential Segment Driving the Market.

In September 2024, the value of lending to owner-occupier first home buyers in Australia came to around 5.1 billion Australian dollars. In comparison, the value of lending to investor first home buyers amounted to approximately 399 million Australian dollars that same month.

In the year ended December 2024, the number of new housing loan commitments to investors in Australia came to just over 192,800. This marked an increase in the number of new loan commitments to investors from the previous year.

Australia GVA: 2022-23p: sa: QoQ: Rental, Hiring & Real Estate Services: Property Operators and Real Estate Services data was reported at -0.100 % in Dec 2024. This records a decrease from the previous number of 1.000 % for Sep 2024. Australia GVA: 2022-23p: sa: QoQ: Rental, Hiring & Real Estate Services: Property Operators and Real Estate Services data is updated quarterly, averaging 0.700 % from Dec 1994 (Median) to Dec 2024, with 121 observations. The data reached an all-time high of 8.700 % in Sep 2020 and a record low of -18.200 % in Jun 2020. Australia GVA: 2022-23p: sa: QoQ: Rental, Hiring & Real Estate Services: Property Operators and Real Estate Services 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.A222: SNA08: Gross Value Added: by Industry: Chain Linked: 2022-23 Price: Seasonally Adjusted: QoQ Percentage.