Key takeaways
House prices increased by 0.3% over the September quarter, bringing the national median house price to $1,149,547. House prices have risen in 19 of the past 20 months, with an annual increase of 7.6% and a two-year growth of 13.2%.
National unit prices fell by 0.2% in September to a median of $657,112. However, unit prices are still up 6.1% year-on-year.
National home prices are expected to continue rising, especially in Perth, Brisbane, and Adelaide, driven by affordability and high buyer activity.
Value buying opportunities exist in Sydney and Melbourne, where prices are still below early 2022 peaks.
Factors like easing interest rate hikes, strong jobs growth, high migration, and wage increases will continue supporting housing demand, though the growth may moderate compared to 2023.
Chronic housing undersupply, high rents, and low vacancy rates persist, although early signs of increasing rental supply and easing tenant demand are emerging.
National house prices increased again over September although unit prices were lower over the month.
The national capital city median house price increased by 0.3% to $1,149,547 over the September quarter compared to the August quarter, according to the latest data from My Housing Market.
The national quarterly house price has now increased over 19 of the past 20 months, has risen by 7.6% over the year ending September 2024 and is higher by 13.2% over the past two years.
Perth was again the top capital city performer over the quarter with prices higher by 1.2% followed by Adelaide up 1.1%, Brisbane higher by 0.5%, Dawin up by 0.4% and Melbourne rising by 0.3%.
Prices however were lower by 0.1% in Canberra, Sydney down 0.3% and Hobart falling by 0.5% over the month.
House prices in a number of capitals remain sharply higher over the year ending the September quarter of 2024 with Perth still clearly the top performer up strongly by 26.9% followed by Adelaide up 17.3%, Brisbane higher by 16.2% and Sydney up 5.4%
And Melbourne's annual house prices are however down by 0.7% followed by Hobart lower by 0.8%, Canberra down by 2.7% and Darwin falling 4.3%.
Median House Prices September 2024
| Median | Month | This Year | 1 Year | 2 Year | |
|---|---|---|---|---|---|
| Sydney | $1,628,532 | -0.3% | 4.0% | 5.4% | 12.3% |
| Melbourne | $1,052,758 | 0.3% | -0.7% | -0.7% | 1.8% |
| Brisbane | $982,305 | 0.5% | 10.8% | 16.2% | 21.7% |
| Adelaide | $970,073 | 1.0% | 12.9% | 17.3% | 27.4% |
| Perth | $941,009 | 1.2% | 19.1% | 26.9% | 40.0% |
| Hobart | $666,618 | -0.5% | -1.6% | -0.8% | -10.3% |
| Darwin | $612,828 | 0.4% | -3.2% | -4.6% | -1.8% |
| Canberra | $935,740 | -0.1% | -1.8% | -3.6% | -5.4% |
| National | $1,149,547 | 0.3% | 5.5% | 7.6% | 13.2% |
Median Unit Prices September 2024
National unit prices were lower over September, down by 0.2% to $657,112.
The national unit price however is now 6.1% higher than the September quarter 2023 result.
Brisbane and Perth were the top performers over September with unit prices each rising by 1.1%.
All other capitals however fell with Melbourne prices down 0.1%, Adelaide lower by 0.3%, Canberra down by 0.4%, Sydney falling 0.5%, Hobart down 3.9% and Darwin lower by 4.2%.
| Median | Month | This Year | 1 Year | 2 Year | |
|---|---|---|---|---|---|
| Sydney | $771,217 | -0.5% | 3.2% | 4.2% | 6.8% |
| Melbourne | $565,568 | -0.1% | -0.8% | 1.0% | 1.3% |
| Brisbane | $556,788 | 1.1% | 22.1% | 24.5% | 39.5% |
| Adelaide | $520,793 | -0.3% | 14.0% | 21.1% | 37.4% |
| Perth | $501,528 | 1.1% | 21.5% | 26.9% | 35.4% |
| Hobart | $502,196 | -3.9% | -0.6% | -5.0% | -8.6% |
| Darwin | $346,974 | -4.2% | -2.0% | -4.7% | -1.9% |
| Canberra | $498,019 | -0.4% | -2.6% | -2.7% | -1.5% |
| National | $657,112 | -0.2% | 4.7% | 6.1% | 9.4% |
Perth, Brisbane and Adelaide continue to record clearly the highest annual unit price growth to September 2024, up by 26.9%, 24.5% and 21.1% respectively.
Sydney's annual unit prices are now higher by 4.2% and Melbourne up by 1.0%.
Canberra, Darwin and Hobart however have recorded annual unit price decreases - down 2.7%, 4.7% and 5.0% respectively.
Comment
Capital city housing markets produced mixed results over September, with Perth and Brisbane continuing to record strong prices growth for both houses and units.
Melbourne maintained recent modest to flat home price outcomes, with Sydney prices now falling marginally after solid growth over the past year.
The smaller capitals of Hobart, Darwin and Canberra remain clear underperformers with prices mostly continuing to fall.
The early spring housing market however has remained active overall with continuing high numbers of seasonal listings and relatively high numbers of weekend home auction sales.
National home prices are likely to continue to increase over the coming months driven as usual by the ongoing boom markets of Perth, Brisbane and Adelaide, with robust buyer and seller activity reflecting the affordability positives remaining in those capitals.
Value opportunities also remain for buyers in Sydney and Melbourne where prices are currently below or similar to the previous peaks recorded in early 2022.
Growth rates over the remainder of 2024, although set to remain generally positive, are however unlikely to match the strong results recorded over the winter and spring period last year that reflected a robust, reviving market environment driven by a surge in buyer activity.
Underlying drivers will continue to support housing market activity with the spectre of higher interest rates easing with recent monthly inflation data falling sharply and approaching the RBA target range - at least for now.
The national economy however remains strong with still relatively low jobless rates and surging jobs growth driving record wage increases.
Continuing high levels of migration over the shorter term will exacerbate current chronic housing undersupply supporting high rents and low vacancy rates in capital city rental markets although early signs of rising rental supply and reduced tenant demand are now emerging.
High rents and higher prices generally however are providing clear incentives for first-home buyers and particularly investors chasing solid investment returns.
Capital city housing markets have recorded another mixed bag of price results over the September quarter with the sharp diversity of capital city consolidating as Perth, Brisbane and Adelaide continue as clear leaders in monthly and annual price growth.
Melbourne and Sydney remain clear underperformers of the major capitals with home price growth remaining subdued or waning – and awaiting an expected revival over the rest of the spring selling season.
