realestate.com.au Home Price Report – October 2026

Australia's housing downturn has deepened as previously strong markets continue to lose momentum.Australian home prices fell for a seventh consecutive month in October, with the downturn broadening and higher interest rates continuing to weigh on housing demand.National home prices declined 0.3% over the month and are now 4.3% below their March peak and 1.9% lower than a year ago. Sydney has overtaken Melbourne as the capital with the deepest correction, while Brisbane and Perth have now fallen almost 6% from their recent highs. Adelaide recorded the largest monthly decline among the capitals.The sharp reversal in previously strong markets highlights how higher borrowing costs and stretched affordability are increasingly constraining purchasing power.Spring has brought more choice for buyers, but not the usual lift in market momentum. Softer auction conditions, longer selling times and subdued sales activity suggest buyers are becoming more cautious.The adjustment remains uneven. Regional markets continue to outperform the capitals, while units have generally held up better than houses as affordability increasingly shapes demand.With inflation proving persistent and the likely pros...