By Michael Yardney June 23, 2025

A A A

88 View comments

This week’s Australian Property Market Update – Latest Data, State by State June 24th 2025

Property Market News
This week’s Australian Property Market Update – Latest Data, State by State June 24th 2025

Key takeaways

Australia’s housing market just hit another milestone.

The total value of all residential dwellings across the country climbed to $11.37 trillion in March 2025, rising 1.2% over the quarter and almost 6% over the year.

With two interest rate cuts already this year, and more on the way, we will see momentum pick up even further.

On the flip side, we’re still not building enough homes.
The number of dwellings grew to just over 11.33 million - up 179,900 over the year - which sounds decent until you remember that it’s well below what the Housing Accord is aiming for.

This week, Cotality also reports that:

*Sydney property prices increased 0.2% over the last week, increased 0.7% over the last month and are 1.0% higher than they were 12 months ago.

*Melbourne property prices increased 0.2% over the last week, increased 0.5% over the last month, and are -0.7% lower compared to 12 months ago.

*Brisbane property prices increased 0.2% over the last week, increased 0.5% over the last month and are 6.8% higher than they were 12 months ago.

Overall, Australian capital dwelling prices increased 0.6% over the last month and are now 2.5% higher than they were 12 months ago.

There were 2,040 capital city homes taken to auction last week.

The combined capital’s preliminary auction clearance rate came in at 73.9% last week, the highest reading since July last year.

This current property cycle has been driven by an undersupply of good properties relative to current demand pushing up property values and rents there was nothing to suggest there will be any significant change in the near future.

Unfortunately, the undersupply properties is going to persist for some time with all commentators agreeing that there is no way we're going to hit the housing construction targets required to meet our demand.

Australia’s property market is expected to continue growing in price over the next 12 months, according to the latest Domain forecast, with capital city house prices expected to rise around 6% and unit prices by 5%.

Lower borrowing costs, government incentives for first home buyers, rising incomes, and a continued undersupply of housing will support this growth.

Sydney and Melbourne are forecast to lead, as they typically respond more quickly to interest rate changes.

Meanwhile, Adelaide and Perth – standout performers over recent years – are expected to experience slower positive growth as affordability constraints intensify.

Unlike the turbocharged growth of the post-COVID boom or the sharp rebounds of past rate-cutting cycles, Domain suggests this future upswing will be defined by subtle shifts in momentum, affordability limits, and policy intervention.

However, affordability constraints are likely to keep price gains in check.

On the auction front this week...there were 2,040 capital city homes taken to auction last week

The combined capital’s preliminary auction clearance rate came in at 73.9% last week, the highest reading since July last year

See Cotality's full auction report below.

This week, Cotality also reports that:

Sydney property prices increased 0.2% over the last week, increased 0.7% over the last month and are 1.0% higher than they were 12 months ago.
Melbourne property prices increased 0.2% over the last week, increased 0.5% over the last month, and are -0.7% lower compared to 12 months ago.

Brisbane property prices increased 0.2% over the last week, increased 0.5% over the last month and are 6.8% higher than they were 12 months ago.

Overall, Australian capital dwelling prices increased 0.6% over the last month and are now 2.5% higher than they were 12 months ago.

Clearly, the property cycle is moving on but our markets are very fragmented.

Source: Cotality June 23rd 2025

Of course, these are "overall" figures - there is not one Sydney or Melbourne or Brisbane property market.

And various segments of each market are performing differently.

At the beginning of this cycle the upper quartile of the market lead the upswing but last year the lower quartile across every capital city recorded a stronger outcome for housing values relative to its upper quartile counterpart.

The following chart shows how various segments of each capital city market are performing differently with median-priced properties performing well.

To help keep you up-to-date with all that's happening in property, here is my updated weekly analysis of data and charts as of 23rd June 2025 provided by SQM Research, Cotality, and realestate.com.au.

Current property asking prices

Property asking prices are a useful leading indicator for housing markets - giving a good indication of what's ahead.

Here is the latest data available:

Sydney

Property type	Price ($)	Weekly Change	Monthly Change %	Annual % change
All Houses	2,047,856	-2.766	0.4%	4.6%
All Units	843,541	0.754	-1.0%	3.9%
Combined	1,557,871	-1.334	0.1%	4.2%

Source: SQM Research

Melbourne

Property type	Price ($)	Weekly Change	Monthly Change %	Annual % change
All Houses	1,299,166	1.614	1.4%	2.8%
All Units	634,652	0.748	0.7%	4.8%
Combined	1,089,340	1.340	1.3%	3.0%

Source: SQM Research

Brisbane

Property type	Price ($)	Weekly Change	Monthly Change %	Annual % change
All Houses	1,246,653	5.050	1.0%	12.5%
All Units	733,298	8.402	2.5%	17.1%
Combined	1,117,648	5.892	1.3%	13.1%

Source: SQM Research

Perth

Property type	Price ($)	Weekly Change	Monthly Change %	Annual % change
All Houses	1,140,789	0.491	1.1%	12.8%
All Units	642,962	1.362	-0.7%	22.5%
Combined	1,010,396	0.719	0.8%	14.2%

Source: SQM Research

Adelaide

Property type	Price ($)	Weekly Change	Monthly Change %	Annual % change
All Houses	1,062,387	7.651	4.0%	16.1%
All Units	553,502	2.298	0.9%	18.1%
Combined	970,873	6.688	3.7%	16.3%

Source: SQM Research

Canberra

Property type	Price ($)	Weekly Change	Monthly Change %	Annual % change
All Houses	1,173,947	4.678	2.0%	-4.0%
All Units	595,177	-1.465	-0.3%	-1.8%
Combined	958,289	2.389	1.4%	-4.0%

Source: SQM Research

Darwin

Property type	Price ($)	Weekly Change	Monthly Change %	Annual % change
All Houses	766,109	-10.229	-1.8%	16.2%
All Units	407,558	-0.308	0.5%	8.8%
Combined	625,231	-6.331	-1.2%	14.2%

Source: SQM Research

Hobart

Property type	Price ($)	Weekly Change	Monthly Change %	Annual % change
All Houses	845,612	2.569	0.3%	7.1%
All Units	492,201	-4.601	-5.7%	-4.4%
Combined	791,805	1.477	-0.3%	5.8%

Source: SQM Research

National

Property type	Price ($)	Weekly Change	Monthly Change %	Annual % change
All Houses	1,001,148	1.973	1.6%	7.2%
All Units	584,197	1.773	0.1%	6.3%
Combined	911,000	1.930	1.4%	7.0%

Source: SQM Research

Cap City Average

Property type	Price ($)	Weekly Change	Monthly Change %	Annual % change
All Houses	1,480,633	-2.626	1.1%	5.5%
All Units	732,978	4.199	0.0%	7.0%
Combined	1,258,056	-0.594	0.9%	5.5%

Source: SQM Research

The value of property asking prices as a leading indicator for housing markets is quite significant.

In fact it's more valuable than median prices which can be quite misleading.

Let's delve into why this is the case and how it impacts the real estate market.

Early Market Sentiment Indicator: Asking prices often reflect the current sentiment of sellers in the real estate market.

If sellers are confident, they might set higher asking prices, anticipating strong demand.
Conversely, if sellers are uncertain or perceive a market downturn, they might lower their asking prices to attract buyers.
This makes asking prices a real-time indicator of market sentiment, often preceding changes in actual sales prices.
Predictive of Future Price Trends: Trends in asking prices can be predictive of where the actual property prices are headed.
For example, a consistent rise in asking prices over a period can signal an upcoming rise in transaction prices.
Impact of Economic Factors: Economic factors such as interest rates, employment rates, and broader economic health influence asking prices.
For instance, changes in the Reserve Bank of Australia's policies or shifts in the job market can quickly reflect in the asking prices, providing insights into how these factors are influencing the housing market.
Regional Variations: In a diverse market like Australia's, asking prices can also provide insights into regional disparities.
For instance, the property markets in Melbourne and Sydney might behave differently from those in Brisbane or Perth. Asking prices can give early indications of these regional trends.
Influence of Supply and Demand: Asking prices are also a response to the balance of supply and demand in the market.
In areas with limited supply and high demand, asking prices tend to be higher and vice versa.

However, it's important to note that while asking prices are a valuable indicator, they should not be used in isolation.

Other factors like actual sales prices, time on the market, auction clearance rates, and economic conditions also play crucial roles in understanding the property market dynamics.

Last weekend's auction report

Highest preliminary clearance rate since July last year

There were 2,040 capital city homes taken to auction last week, a -6.6% reduction on the previous week’s volume (2,183) and -5.1% lower than at the same time last year (2,150).

The combined capital’s preliminary auction clearance rate came in at 73.9% last week, the highest reading since July last year and a solid bounce from the 63.8% early result recorded over the King’s Birthday long weekend two weeks prior.

Melbourne recorded the highest volume of auctions last week, with 947 homes taken under the hammer.

The preliminary clearance rate came in at 76.6%, the highest since May 2023 and the second highest of any capital city after Adelaide (77.5%).

In Sydney, 789 homes were taken to auction last week, with 73.5% reporting a positive result so far.

This was Sydney’s highest preliminary clearance rate since the week ending 23 February 2025 (74.4%), following the first cash rate cut.

There were 152 auctions held in Brisbane last week, returning a preliminary clearance rate of 66.7%, the highest since the week ending 11 May 2025 (69.7%).

Adelaide recorded a preliminary clearance rate of 77.5% last week, the highest of any capital city and the city’s strongest early result since the first week of April 2025.

Last week saw 64 homes taken to auction across the ACT, with 55.3% successfully selling based on results collected so far.

The volume of auctions is set to hold reasonably firm this week, with around 2,080 homes currently scheduled to go under the hammer, before dropping below 1,800 next week as the cooler weather dampens activity.

Our rental markets

According to Cotality, macro trend in rental markets is one of slowing growth, albeit with some seasonality providing a positive influence on trends through the earlier months of the year.

The monthly pace of rental growth eased back to 0.4% in May, following three months of 0.6% month-on-month gains.

The largest capitals, Sydney and Melbourne, are now among the softest rental markets in the country following a period of extreme rental growth.

The slowdown in rental growth across most markets comes despite rental vacancy rates remaining close to historic lows.

Every capital city continues to see rental vacancy rates below 2% compared with a decade average of 2.6% across the combined capitals.