Home values are up across most capital cities, REA Group’s latest Home Price Index shows, with the biggest winners being property owners in the City of Churches.
Adelaide outperformed the rest of the nation, with the report showing its metropolitan median dwelling price had climbed 10.77 per cent to a new peak of $804,000 over the past 12 months, while regional properties in the Festival State were up 11.6 per cent.
Homes in regional Queensland were the winners for monthly growth, up 0.49 per cent, closely followed by dwellings in regional SA which were up by 0.48 per cent.
Report author, REA Group senior economist Anne Flaherty said while national home prices rose in April, the rate of growth has slowed compared to the first three months of the year.
“Should interest rates fall in May, we may see the rate of growth pick up again as borrowing capacities increase and mortgage repayments decline.
Report author and REA Group senior economist Anne Flaherty. Pic: Supplied.
“The rate of price growth is moderating in outperforming cities such as Perth, Adelaide and Brisbane, while underperformers such as Melbourne, Canberra, and Sydney have started to pick up.
“This is lessening the divergence in home price growth seen across the country over the past year.
She said many hopeful buyers would be eagerly awaiting the result of the weekend’s federal election.
“With housing affordability a key issue at the upcoming federal election, both Labor and the Coalition have announced policy incentives for first home buyers,” she said.
“As a result, many of these buyers may be biding their time to get into the market after the election and the launch of these policies.
“Whichever party is elected, the combination of increased first home buyer incentives, lower interest rates, and supply side challenges are expected to contribute to even higher property prices in 2025.”
Here’s how the market performed in your state:
ADELAIDE
South Australia’s property sector continues to show its strength on the national stage, with a new report revealing SA’s median dwelling price has cracked $800,000 and is now $74,000 more than this time last year.
According to PropTrack’s May Home Price Index report, South Australian properties recorded the highest growth over the past year, with combined regional dwellings – both house and unit – prices up 11.6 per cent over the past year, and metropolitan dwelling prices up 10.77 per cent over the past year.
Adelaide homeowners have reason to celebrate. Picture: Ben Clark
SA also record the second and third highest growth across the nation over the past month – up 0.3 per cent for metropolitan homes and 0.48 per cent for homes in regional SA – edged out only by regional Queensland homes, which increased by 0.49 per cent.
Adelaide’s median combined dwelling price currently sits at $804,000. In its May 2024 report, PropTrack had Adelaide’s median dwelling value at $730,000, while the data group currently has regional South Australia’s median price at $480,000 – also a record high. This time last year, that was $434,000.
SYDNEY
Pre-election jitters among property buyers and rising uncertainty about the impact of Trump tariffs on the global economy have been dragging on home prices, with values barely inching up over April.
Sydney’s median dwelling price grew by about 0.1 per cent over the month, adding only about $1000 to the average cost of housing, PropTrack’s latest Home Price Index revealed.
Home values in Sydney haven’t shown the same growth as in Adelaide. Photo: Getty Images
It’s a change from earlier in the year when the Reserve Bank’s decision to cut interest rates spurred a rebound in the housing market that saw prices rise by the fastest pace in nearly a year.
April’s modest growth pushed Sydney’s median price – based on sales of units, townhouses and houses – to a new peak of $1,118,000, according to PropTrack.
Houses now cost an average of about $1.46 million and units $819,000.
MELBOURNE
Melbourne is just behind Adelaide as the nation’s best capital for home price growth as a fourth straight month of rising values pushes its ailing property market into recovery mode.
PropTrack’s latest Home Price Index shows the city’s $900,000 typical house has risen almost $9000 (1 per cent) so far this year, while the $588,000 median priced unit gained almost $12,000 (2.1 per cent).
Melbourne is nipping at Adelaide’s heels when it comes to monthly home value growth. Pic: Tennis Australia/ NICK LA GALLE
While it is not enough to outweigh losses in the Victorian capital across last year with house values down from $917,000 a year ago and units behind from $594,000, senior economist Anne Flaherty said it was “an extremely strong result for Melbourne”.
HOBART
To buy a typical Hobart house, buyers need a little more bang in their budget than they did last year.
PropTrack’s April Home Price Index, released Thursday, shows a median value house will cost purchasers $715,000 – that’s a 2.58 per cent annual increase.
Hobart househunters will need slight deeper pockets to buy in the Apple Isle. Picture: Supplied
In regional areas, house values have grown by 2.6 per cent year-on-year to a median of $550,000. In the units sector, the capital and regional markets increased by a dash – 0.08 per cent in Hobart and 0.18 per cent in the rest of the state.
This brought the median unit prices to $560,000 in the city and $420,000 throughout Tassie.
BRISBANE
Home prices have jumped by as much as 22pc in parts of Queensland, with latest PropTrack figures seeing records tumble across the board including a $101k rise in Brisbane.
Brisbane held on to its title of second most expensive capital city in Australia, with dwelling prices hitting a record $882,000 median, the latest PropTrack Home Price Index out Thursday found, but shockingly, its 8.7 per cent annual rise was at the lower end of surges the state has seen this past year.
Home prices are up as much as 22 per cent across some parts of Queensland. Picture: Supplied
REA Group senior economist and report author Anne Flaherty said “less than 12 months ago, the median price of a home in Brisbane was less than Melbourne. Now, it is $101,000 higher” – which sees it remain one of the strongest performing capitals following closely behind Adelaide (+10.8pc) and Perth (+9.3pc).
Bu at least five Queensland regions have beaten Brisbane home price growth significantly, led by Townsville where the dwelling median spiked 22.02 per cent in the past year alone to hit $534,000.
DARWIN
Darwin homes prices have hit a new peak in April with new data revealing the house market significantly outperformed the unit market in the past 12 months.
The latest PropTrack Home Price Index showed the median dwelling price in Darwin increased 0.2 per cent in April and 4.1 per cent in the last year to sit at a peak of $531,000.
REA Group senior economist and report author, Anne Flaherty said despite the increase, Darwin remained the cheapest capital city in Australia.
Darwin prices have also hit a new peak. Photo: Getty Images
“Houses in Darwin have significantly outperformed units over the past 12 months, up 5.1 per cent compared to 1.7 per cent for units,” she said.
The HPI showed the average cost of a Darwin house also increased 0.03 per cent in April to $602,000, while units were up 0.44 per cent last month to $383,000.
Home prices in regional NT had a small decline in April, down 0.1 per cent to $418,000.
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