Here you have it — another year almost done and dusted!
I hope you’ve carved out some well-earned time to relax and enjoy the festive season with family and friends. And if not, I trust your systems and strategies are working hard for you, helping you finish the year on a high and make the most of every opportunity.
As we wrap up the year, the Australian property market continues to show strong growth, though momentum is easing. After three consecutive months of robust increases, national housing growth slowed slightly from 1.1% in October. Mid-sized capitals are leading the charge, with Perth posting 2.4% growth, while Sydney (0.5%) and Melbourne (0.3%) lag behind, reflecting affordability pressures.
🏡 Australia Market Update
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Affordability constraints & high rates: Record dwelling-to-income ratios and expectations of extended interest rate holds are weighing on housing sentiment and credit access.
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Mid-sized cities outperforming: Cities like Perth, Brisbane, and Adelaide continue to see strong buyer demand, low listings, and rapid growth in median property values. Perth added over $21,000 to the median in November. Brisbane’s median now surpasses Perth and Melbourne.
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Rental market pressures: National vacancy rates remain near historic lows at 1.5%, driving continued rent rises. National rents are now 5% higher year-on-year, with the cost of rent averaging over a third of pre-tax household income.
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Mortgage and lending factors: New measures, including APRA’s high debt-to-income limits, combined with stable interest rates, are creating challenges for affordability, particularly for first-time buyers and investors.
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Despite these pressures, demand remains strong, particularly in Perth, where listings are more than 40% below average, and buyer activity continues to drive significant value growth.
While national growth may moderate, mid-sized capitals are likely to remain hot spots. Limited supply, high demand, and rising rents ensure the market remains competitive as we head into 2026.
Here’s to your success
