Key takeaways
National housing markets have consolidated the growth recorded over the previous month with a generalised surge in home prices reported over the March quarter well ahead of the February quarter results.
The national house price has now increased over 13 of the past 14 months and is now reporting the highest levels of growth since October 2021, reflecting strong home buyer activity.
National house prices have now risen by 11.0% over the year ending March 2024 and are higher by 5.5% over the past two years.
National unit prices also increased sharply over March following the February rise, with the national unit price up by 1.7% to $644,165 and is now 7.9% higher than the March 2023 result.
National housing markets have consolidated the growth recorded over the previous month with a generalised surge in home prices reported over the March quarter, well ahead of the February quarter results.
According to the latest data from My Housing Market, the national capital city median house price increased sharply by 2.7% to $1,125,923 in the March quarter compared to the February quarter.
The national quarterly house price has now increased over 13 of the past 14 months and is now reporting the highest levels of growth since October 2021, reflecting strong home buyer activity.
National house prices have now risen by 11.0% over the year ending March 2024 and are higher by 5.5% over the past two years.
All capitals reported increases in houses prices over March with Sydney and Hobart the top performers each higher by 3.4%, followed by Darwin up 2.9%, Melbourne up 2.7% and Brisbane, Adelaide, Canberra and Perth higher by 2.5%, 2.3%, 1.8% and 0.8% respectively.
House prices in most capitals remain significantly higher than reported over March 2023 with Perth the top performer up by 22.4% followed by Brisbane up 18.0%, Adelaide higher by 17.1% and Sydney up 11.1%. Melbourne, Hobart, Canberra and Hobart have reported annual house prices increases of 4.3%, 3.0%, 2.2% and 1.5% respectively.
Median House Prices March 2024
| Median | Month | This Year | 1 Year | 2 Year | |
|---|---|---|---|---|---|
| Sydney | $1,617,100 | 3.4% | 3.3% | 11.1% | 2.4% |
| Melbourne | $1,076,259 | 2.7% | 1.7% | 4.3% | -1.5% |
| Brisbane | $922,738 | 2.5% | 4.5% | 18.0% | 13.5% |
| Adelaide | $904,661 | 2.3% | 6.2% | 17.1% | 17.7% |
| Perth | $846,781 | 0.8% | 6.6% | 22.4% | 28.9% |
| Hobart | $698,596 | 3.4% | 4.1% | 1.5% | -7.9% |
| Darwin | $638,938 | 2.9% | 4.8% | 3.0% | -2.5% |
| Canberra | $957,812 | 1.8% | 1.7% | 2.2% | -9.9% |
| National | $1,125,923 | 2.7% | 3.5% | 11.0% | 5.5% |
Median Unit Prices March 2024
National unit prices also increased sharply over March following the February rise, with the national unit price up by 1.7% to $644,165 and is now 7.9% higher than the March 2023 result.
Similar to houses, all capital city unit prices were higher over March, with Brisbane the top performer up by 3.8% followed by Canberra, Hobart, Melbourne, Darwin, Perth, Sydney and Adelaide higher by 3.6%, 3.0%, 2.2%, 1.9%, 1.8%, 1.2% and 0.3% respectively.
- Also read:The Boom and Bust of our Property Cycles: A Journey Through the Investor’s Mind
- Also read:Perth housing market update | April 2024
- Also read:Latest property price forecasts for 2024 revealed. What’s ahead in our housing markets in the next year or two?
- Also read:Sydney housing market update | April 2024
- Also read:Melbourne property market forecast for 2024
| Median | Month | This Year | 1 Year | 2 Year | |
|---|---|---|---|---|---|
| Sydney | $761,880 | 1.2% | 2.0% | 6.1% | 1.6% |
| Melbourne | $573,268 | 2.2% | -0.1% | 5.6% | -1.9% |
| Brisbane | $505,388 | 3.8% | 7.2% | 21.3% | 31.5% |
| Adelaide | $470,833 | 0.3% | 1.6% | 17.0% | 31.2% |
| Perth | $443,530 | 1.8% | 7.5% | 21.7% | 18.9% |
| Hobart | $520,532 | 3.0% | 3.0% | 2.9% | -8.2% |
| Darwin | $369,876 | 1.9% | 16.9% | 3.2% | -0.2% |
| Canberra | $516,420 | 3.6% | 2.7% | 3.1% | 3.7% |
| National | $644,165 | 1.7% | 2.5% | 7.9% | 4.2% |
Perth, Brisbane, and Adelaide clearly reported the highest annual unit price growth over the year ending March 2024, up by 21.7%, 21.3%, and 17.0%, respectively. All other capitals have also recorded annual unit price increases.
Comment
Capital city housing markets have continued to build on the positive start to 2024 with generally strong price growth reported over March, and all capitals reporting increases in both house and unit prices over the month.
2023 was a recovery year for capital city housing markets, with most reporting double-figure price growth despite significant interest rate increases and high inflation constraining affordability.
Although price growth eased at the end of 2023, markets bounced back early into 2024 and are now recording robust price growth, reflecting resilient buyer and seller confidence.
Home price growth is set to continue through 2024 with value opportunities remaining particularly for buyers in Sydney and Melbourne with prices still currently below or similar to the previous peaks recorded in early 2022.
Perth, Brisbane and Adelaide, however, are likely to continue to report the strongest capital city results, reflecting heady buyer and seller activity and the clear relative affordability advantages remaining in those capitals.
Underlying drivers will support strengthening housing market activity, with steady inflation likely to keep interest rates on hold for the foreseeable future and a continuing strong economy with low unemployment driving record wage growth.
Continuing high levels of migration will exacerbate chronic housing undersupply driving surging rents and record low vacancy rates in capital city rental markets, with a near-term significant revival in home building increasingly unlikely. High and rising rents will provide clear incentives for first home buyers and investors.
March has clearly built on the positive February results, with strong price outcomes and record seasonal weekend home auction sales. This raises the likelihood of another double-figure year for national house price growth.
