Key takeaways
Capital city home prices have continued to generally steady over October with Sydney and Melbourne reporting monthly growth for the first time since April
The national capital city median house price fell marginally by 0.3% over the October quarter to $1,206,637 compared to the September quarter.
Similar to houses, national unit prices have also improved over the October quarter compared to the September quarter, down now by 0.3% to $698,478.
Annual unit prices however have fallen by 1.0% which is the first decline reported since June 2023.
Capital city home prices have continued to generally steady over October with Sydney and Melbourne reporting monthly growth for the first time since April
The national capital city median house price fell marginally by 0.3% over the October quarter to $1,206,637 compared to the September quarter, according to the latest data from My Housing Market.
Although the October result was the sixth consecutive decline in national house prices, it was another clear improvement over the 1.0% fall reported over the previous month.
Annual national house prices however are now lower by 3.8% with annual house price growth down sharply this year since the March peak of 10.9% growth.
Melbourne, Hobart and Sydney reported higher house prices over the month – up by 0.6%, 0.5% and 0.1% respectively.
House prices however were lower in Darwin, Canberra, Perth, Adelaide and Brisbane - falling by 0.1%, 0.1%, 0.9%, 1.0% and 1.7% respectively.
With the exception of Brisbane and Adelaide, all capitals reported higher growth rates over October compared to the rates of the previous month.
Annual house price growth remains mixed with Perth, Hobart, Darwin and Brisbane up by 7.7%, 6.5%, 4.2% and 1.0% respectively.
Adelaide, Canberra, Melbourne and Sydney house prices however are down 0.4%, 6.3%, 7.2% and 8.0% respectively over the past year.
Quarterly Median House Prices October 2026
| Median | Month | This Year | 1 Year | 2 Year | |
| Sydney | $1,621,560 | 0.1% | -8.6% | -8.0% | -1.3% |
| Melbourne | $1,033,236 | 0.6% | -7.9% | -7.2% | -1.8% |
| Brisbane | $1,135,717 | -1.7% | -2.6% | 1.0% | 14.2% |
| Adelaide | $1,059,557 | -1.0% | -3.6% | -0.4% | 8.6% |
| Perth | $1,141,970 | -0.9% | 2.1% | 7.7% | 20.4% |
| Hobart | $765,191 | 0.5% | 2.1% | 6.5% | 11.2% |
| Darwin | $779,064 | -0.1% | 2.5% | 4.2% | 24.2% |
| Canberra | $949,344 | -0.1% | -5.8% | -6.3% | 0.0% |
| National | $1,206,637 | -0.3% | -5.6% | -3.8% | 4.3% |
National unit prices have also improved
Similar to houses, national unit prices have also improved over the October quarter compared to the September quarter, down now by 0.3% to $698,478.
Annual unit prices however have fallen by 1.0% which is the first decline reported since June 2023.
Canberra, Perth, Melbourne and Sydney reported higher unit prices over the October quarter compared to the previous September quarter - rising by 1.7%, 1.2%, 0.2% and 0.1% respectively.
Unit prices in Hobart, Darwin, Adelaide and Brisbane however were lower over the month – falling by 0.4%, 1.2%, 1.9% and 3.1% respectively.
All capitals reported higher growth rates compared to the previous month results with the exception of Brisbane, Adelaide and Darwin.
Quarterly Median Unit Prices October 2026
| Median | Month | This Year | 1 Year | 2 Year | |
| Sydney | $787,936 | 0.1% | -2.7% | -2.4% | 1.4% |
| Melbourne | $574,924 | 0.2% | -3.9% | -3.4% | 1.3% |
| Brisbane | $710,418 | -3.1% | 0.0% | 4.9% | 26.7% |
| Adelaide | $603,771 | -1.9% | -4.1% | 0.8% | 15.3% |
| Perth | $644,849 | 1.2% | 4.0% | 8.9% | 25.7% |
| Hobart | $570,608 | -0.4% | 6.4% | 6.3% | 15.9% |
| Darwin | $460,061 | -1.2% | 7.1% | 15.4% | 29.0% |
| Canberra | $501,376 | 1.7% | -1.2% | -0.6% | 0.9% |
| National | $698,478 | -0.3% | -2.2% | -1.0% | 5.6% |
Similar to houses, Darwin, Perth, Hobart and Brisbane continue to record the highest annual unit price growth to October 2026, up by 15.4%, 8.9%, 6.3%, and 4.9% respectively.
Canberra, Sydney and Melbourne unit prices however have fallen over the past year – down by 0.6%, 2.4% and 3.4% respectively
Comment
Capital city home prices have continued to generally revive over October with the rate of decline clearly improving compared to the previous month, and reflecting increased activity and slowly recovering confidence over the spring selling season.
Housing market activity has been predictably impacted by RBA interest rate increases in February, March, May and September. Uncertainty over the economic outlook and significant changes to federal property taxes and reduced immigration levels have also affected market activity.
The outlook for home prices for the remainder of 2026 has however improved given recent upward price trend movements. Although elevated inflation is likely to continue, the prospect of higher interest rates has perhaps eased over the shorter-term.
The economy remains reasonably robust although the national jobless rate has increased over recent months to the highest levels in the post COVID era which adds another factor to interest rate decision-making. The RBA will be conscious of the negative impact of higher interest rates on the economy and particularly a weakening labour market.
Underlying housing demand however continues to outpace low and diminishing housing supply although recent significant government policy initiatives have reduced high post-COVID migration levels with sharp reductions also in international student numbers.
Rental vacancy rates generally remain low in most capitals although recent data is indicating a pause in the recent surge in rentals and higher vacancy rates for units - perhaps reflecting the impact of reduced migration.
Recently announced federal government changes to property taxes and self-funded superannuation designed to reduce residential investor activity will however likely act to place upward pressure on rents.
Capital city housing markets generally recorded higher house and unit prices over 2023, 2024 and surged over 2025 fuelled by rising buyer and seller activity generated by sharp cuts to interest rates.
2026 is now clearly and consistently reporting lower home price outcomes compared to the previous three years with uncertainty remaining over the near-term future for interest rates. The prospect of higher interest rates has continued to generally dampen buyer and seller confidence particularly over the typically distracted and quieter winter period.
The spring selling season has however predictably generated increased buyer and seller activity with consistent signs now emerging of improved price growth trends. Underlying drivers generally remain relatively positive notwithstanding uncertainty over the near-term trajectory of interest rates. Rising confidence and a steadying of interest rates clearly remain the key to a sustained housing market revival.
- Also read:Home Prices Continue to Steady Over October | Latest Property Market Stats
- Also read:53 years of valid reasons not to invest
- Also read:Why Testamentary Trusts Aren’t Just for the Rich: A Guide to Safeguarding Your Legacy Introduction
- Also read:Why the ALP’s Grand Plan to Build 1.2 Million Homes Is Destined to Fail – A Reality Check
- Also read:Here’s how I’ll be investing in property in 2023
