Here’s a concise update on the latest forecasts for Australian house prices.
Key takeaways
- Market momentum remains positive in many forecasts, with some expectations of continued price growth into 2026 driven by supply constraints and improving borrowing conditions.[9][10]
- Nationally, several reputable forecasters project annual price increases in the mid-to-high single digits for 2025–2026, though figures vary by city and scenario.[10][9]
- Sydney and other capitals are often highlighted as expected leaders in price gains, while Melbourne’s path has shown more variability due to local supply and demand dynamics.[7][10]
Recent forecasts and sources to watch
- Domain and CoreLogic-derived outlooks (and related media updates) frequently cite a rebound in prices across capital cities as rate cuts and incentives support demand, with notable gains anticipated in Sydney and Perth in particular.[8][7]
- KPMG’s and Canstar’s analyses emphasize ongoing supply constraints as a primary driver of price resilience, with predicted uplift continuing into 2026 in multiple scenarios.[4][10]
- News outlets and research firms have published year-ahead and multi-year forecasts suggesting national home values rising around 6–8% in coming years, depending on inflation, rate moves, and supply conditions.[1][10]
What this means for buyers and investors
- If you’re considering entering the market or revising a strategy, be aware that forecasts generally expect price growth but recognize differences by city and property type. Capital cities with tighter supply and favorable affordability dynamics are often highlighted as stronger growth prospects.[8][9]
- Mortgage rates and government incentives continue to influence borrowing capacity, which can translate into higher purchase activity and price pressure in the near term.[1][7]
Would you like me to pull a more precise, city-by-city forecast snapshot from a specific source (e.g., Domain, CoreLogic, KPMG) and summarize it in a compact table? I can also tailor the view to your target city or budget range.