Sydney had the highest median house value compared to other capital cities in Australia as of April 2025, with a value of over **** 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 remained high across Australia, with several capital cities breaking price records. 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 fourth quarter of 2024, Australia’s house price-to-income ratio declined slightly to ***** 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 elevated 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 ** percent of their household income on rent.

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.

Graph and download economic data for Real Residential Property Prices for Australia (QAUR628BIS) from Q1 1970 to Q1 2025 about Australia, residential, HPI, housing, real, price index, indexes, and price.

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.

Average House Prices in Australia increased to 1016.70 AUD Thousand in the second quarter of 2025 from 1002.50 AUD Thousand in the first quarter of 2025. This dataset includes a chart with historical data for Australia Mean Dwelling Price.

The house price-to-income ratio in Australia was ***** as of the first quarter of 2025. 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.

In 2022, Sydney was listed as the second-least affordable city worldwide in terms of housing affordability, as well as the most unaffordable capital city for houses in Australia, with a median multiple house price relative to income value of ****, meaning that housing prices in Sydney were over ** times the average annual gross median household income.

Australia’s real house price index increased to ***** in the first quarter of 2025. 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 *****. 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 hit ***** in the second 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 into the first quarter of 2025, making the prospect of renting less appealing. As of March 2025, the average weekly house rent price in Sydney stood at *** 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 first quarter of 2025, the house price-to-rent ratio in Australia was estimated at ***, marking a decrease from the same quarter of the previous year. An indicator of how strong the property market is, the house price-to-rent ratio was calculated by dividing nominal house prices by rent price indices. Within the given period, after reaching a peak in the first quarter of 2022, the price-to-rent ratio decreased each quarter until the second quarter of 2023. From then on, the house price-to-rent ratio fluctuated, but largely trended downwards. Is Australia in a property bubble? Many industry experts believe the country is in a property bubble, indicated by the rapid increase in Australian property market prices to the point that they are no longer relative to incomes and rents, followed by a decline. The house price-to-income ratio was on an upward trend between the third quarter of 2022 and the second quarter of 2024. Nonetheless, after hitting its peak, it declined to ***** in the fourth quarter of 2024. Rental property demand In March 2025, the rental vacancy rate, which indicates how many properties are available for rent out of all the rental stock, was relatively high in Melbourne, Canberra, and Sydney. That year, the average weekly rent prices varied across the country depending on the city, with the highest average weekly rents for houses and units in Sydney. Hobart, on the other hand, had the most affordable rental properties across Australia's capital cities.

This chart shows the monthly housing cost expenses for renters. Gross rent is the agreed upon rent plus the estimated average monthly cost of utilities (electricity, gas, and water and sewer) and fuels (oil, coal, kerosene, wood, etc.) if these are paid by the renter.

As of 2024, the average price of entry level houses in Sydney, Australia came to around ******* Australian dollars, marking an annual increase of over *** percent. Canberra had the second-highest entry house prices across the country's capital cities that year. Prospective first-home buyers in Perth saw the largest annual growth in entry house prices, at over ** percent.

Australia Housing Affordability Index: New South Wales: Sydney data was reported at 93.300 Index in Jun 2010. This records a decrease from the previous number of 102.600 Index for Mar 2010. Australia Housing Affordability Index: New South Wales: Sydney data is updated quarterly, averaging 125.996 Index from Sep 1984 (Median) to Jun 2010, with 104 observations. The data reached an all-time high of 182.873 Index in Sep 1985 and a record low of 83.597 Index in Dec 2003. Australia Housing Affordability Index: New South Wales: Sydney data remains active status in CEIC and is reported by Housing Industry Association. The data is categorized under Global Database’s Australia – Table AU.EB019: Housing Affordability Index: Based on Commonwealth Bank of Australia Home Price (Discontinued). Rebased Index. Replacement series ID: 305195101

Australia Consumer Price Index (CPI): Sydney: Housing data was reported at 180.900 1989-1990=100 in Jun 2012. This records an increase from the previous number of 179.300 1989-1990=100 for Mar 2012. Australia Consumer Price Index (CPI): Sydney: Housing data is updated quarterly, averaging 98.600 1989-1990=100 from Sep 1972 (Median) to Jun 2012, with 160 observations. The data reached an all-time high of 180.900 1989-1990=100 in Jun 2012 and a record low of 16.900 1989-1990=100 in Sep 1972. Australia Consumer Price Index (CPI): Sydney: Housing 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.I009: Consumer Price Index: 1989-90=100: Eight Capital Cities.

In the third quarter of 2023, the median price of residential property transfers for established housing in Sydney came to **** million Australian dollars. The highest median price of established housing transfers in Sydney within the given time period was recorded in the fourth quarter of 2021.

Australia Consumer Price Index (CPI): Sydney: Housing: Rents data was reported at 137.200 2011-2012=100 in Mar 2025. This records an increase from the previous number of 136.000 2011-2012=100 for Dec 2024. Australia Consumer Price Index (CPI): Sydney: Housing: Rents data is updated quarterly, averaging 60.800 2011-2012=100 from Sep 1972 (Median) to Mar 2025, with 211 observations. The data reached an all-time high of 137.200 2011-2012=100 in Mar 2025 and a record low of 8.500 2011-2012=100 in Sep 1972. Australia Consumer Price Index (CPI): Sydney: Housing: Rents 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.

Sydney topped the residential rental pricing market in Australia in March 2025, with house rent prices reaching an average of *** Australian dollars per week. The average weekly rent for a unit in Sydney was the highest among all capital cities in the country, followed by Brisbane.

The Bellevue Hill area was the most expensive housing suburb in Sydney, Australia as of March 2025, with a median property value exceeding *** million Australian dollars. The Vaucluse suburb had the next highest prices for housing, at around **** million dollars.

As of September 2024, the average rental yield of houses in Sydney, New South Wales, was **** percent. In Darwin, the rental yield for houses measured **** percent, which was the highest across all Australian capital cities during that quarter.

This statistic depicts the annual change in residential property prices in Australia between ********** and **********, by city. In this period, the average house price in Sydney decreased by around **** percent; the largest change across Australia.