Key takeaways
The national capital city median house price increased by 0.4% over the August quarter compared to the July quarter, and is now higher by 7.8% over the year ending August 2024.
National unit prices rose by 0.4% over August following the fall reported over the previous month. Hobart was the top monthly performer up by 4.4% followed by Perth higher by 1.5%, Adelaide up 1.4% and Sydney and Brisbane each higher by 0.4%.
Capital city housing markets produced generally positive results over August for both houses and units, with Perth, Adelaide and Brisbane remaining runaway leaders for price growth with no real signs of easing. Melbourne and Sydney have slowed through winter following recent solid to moderate growth, with Hobart, Darwin and Canberra remaining clear underperformers.
Underlying drivers will continue to support housing market activity with low jobless rates and surging jobs growth driving near-record wage increases. High rents and low vacancy rates in capital city rental markets will exacerbate current chronic housing undersupply.
National home prices were higher over August with both houses and units reporting growth although the fragmentation of capital city results remains pronounced.
The national capital city median house price increased by 0.4% to $1,147,015 over the August quarter compared to the July quarter, according to the latest data from My Housing Market.
The national quarterly house price has now increased over 18 of the past 19 months and has risen by 7.8% over the year ending August 2024, and is higher by 12.0% over the past two years.
Perth was the top capital city performer over the quarter with prices higher by 1.7% followed by Adelaide up 1.5%, Brisbane higher by 1.1% and Sydney rising by 0.2%.
Prices however were lower in the other capitals with Melbourne down 0.3%, Hobart lower by 1.0%, Canberra down 1.8% and Darwin falling by 2.7% over the month.
House prices in a number of capitals remain sharply higher over the year ending the August quarter of 2024 with Perth still clearly the top performer up strongly by 27.4% followed by Adelaide up 17.9%, Brisbane higher by 16.3% and Sydney up 6.2%.
Hobart annual house prices however are lower by 0.3% followed by Melbourne down 1.4%, Canberra lower by 2.7% and Darwin down 6.2%.
Median House Prices August 2024
| Median | Month | This Year | 1 Year | 2 Year | |
|---|---|---|---|---|---|
| Sydney | $1,632,255 | 0.2% | 4.3% | 6.2% | 11.0% |
| Melbourne | $1,049,684 | -0.3% | -0.8% | -1.4% | 1.1% |
| Brisbane | $977,909 | 1.1% | 10.8% | 16.3% | 19.6% |
| Adelaide | $965,485 | 1.5% | 13.3% | 17.9% | 26.5% |
| Perth | $929,606 | 1.7% | 17.0% | 27.4% | 37.3% |
| Hobart | $664,532 | -1.0% | -1.0% | -0.3% | -10.1% |
| Darwin | $614,315 | -2.7% | 0.7% | -6.2% | -3.3% |
| Canberra | $943,240 | -1.8% | 0.1% | -2.7% | -3.0% |
| National | $1,147,015 | 0.4% | 5.5% | 7.8% | 12.0% |
Median Unit Prices August 2024
National unit prices bounced back over August following the fall reported over the previous month, rising by 0.4% to $657,968.
The national unit price is now 6.3% higher than the August quarter 2023 result.
Most capital cities reported higher unit prices over August with the exception of Melbourne down 0.1% compared to the July quarter, Canberra falling 0.3% and Darwin down 1.3%.
Hobart was the top monthly performer up by 4.4% followed by Perth higher by 1.5%, Adelaide up 1.4% and Sydney and Brisbane each higher by 0.4%.
| Median | Month | This Year | 1 Year | 2 Year | |
|---|---|---|---|---|---|
| Sydney | $775,406 | 0.4% | 3.9% | 4.4% | 6.7% |
| Melbourne | $564,537 | -0.1% | -1.6% | 0.9% | 0.1% |
| Brisbane | $549,549 | 0.4% | 19.4% | 24.7% | 39.1% |
| Adelaide | $515,121 | 1.4% | 11.2% | 19.3% | 38.8% |
| Perth | $494,580 | 1.5% | 19.9% | 28.6% | 33.1% |
| Hobart | $533,299 | 4.4% | 5.6% | 1.0% | -0.6% |
| Darwin | $360,518 | -1.3% | 12.7% | -1.9% | -1.8% |
| Canberra | $501,930 | -0.3% | -0.2% | -1.3% | -2.3% |
| National | $657,968 | 0.4% | 4.7% | 6.3% | 9.0% |
Perth, Brisbane and Adelaide continue to record clearly the highest annual unit price growth to August 2024, up by 28.6%, 24.7% and 19.3% respectively.
Sydney annual unit prices are now higher by 4.4% with Hobart rising 1.0% and Melbourne up by 0.9%.
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Canberra and Darwin however have recorded annual unit price decreases - down 1.3% and 1.9% respectively.
Comment
Capital city housing markets produced generally positive results over August for both houses and units although results between capital cities remain highly fragmented.
Perth, Adelaide and Brisbane remain runaway leaders for price growth with no real signs of easing.
Melbourne and Sydney have slowed through winter following recent solid to moderate growth, with the smaller capitals of Hobart, Darwin and Canberra remaining clear underperformers.
The winter housing market however has remained reasonably active overall with continuing high numbers of seasonal listings and relatively high numbers of weekend home auction sales.
National home prices are set to continue to increase over the coming months driven by the 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 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 near-record wage increases.
Continuing high levels of migration over the shorter term will exacerbate current chronic housing undersupply driving high rents and low vacancy rates in capital city rental markets although early signs of rising rental supply 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 August quarter with the recent fragmentation of capitals consolidating as Perth, Brisbane and Adelaide remain clear leaders in monthly and annual price growth.
Melbourne and Sydney remain clear underperformers of the major capitals with winter house price growth now waning – and awaiting a likely revival over the coming spring selling season.
