Sydney home prices fall for sixth month straight as rate hikes, budget weigh on market

Sydney home values have fallen for a sixth consecutive month, with house prices plummeting almost 6 per cent since their November peak and wiping an average $87,000 from values, as higher interest rates, government tax changes and economic uncertainty continue to weigh on buyer demand. Realestate.com.au’s latest Home Price Report shows Sydney home prices fell 0.3 per cent in August, leaving values 4.9 per cent below their November 2025 peak. Houses have taken the brunt of the downturn, with the median price falling 5.8 per cent since November from $1.632m to $1.545m. Unit prices reached their peak more recently, in February, but have since declined 3.2 per cent. The harbour city’s home values are now 3.6 per cent lower than a year ago, with house prices down 0.4 per cent and unit prices down 0.1 per cent over the month of August. Both have fallen year-on-year, by 4.5 per cent and 1.2 per cent, respectively. Sydney home values have fallen for a sixth consecutive month, with house prices plummeting almost six per cent since a November peak Realestate.com.au senior economist and report author Eleanor Creagh said higher interest rates were the dominant headwind for Sydney’s market, as ...