australian property prices leap again in september hitting new record highs
Australian property prices have risen again and are predicted to continue rising. Image: Canva.
  • Property prices have risen 0.35% MoM.
  • The market has fully recovered from 2022's decline.
  • Smaller capitals recorded fresh peaks following price rises.

Australian property prices have risen again, with national home prices climbing 0.35% month on month in September, according to PropTrack’s latest Home Price Index. The index also found that Australian home prices have risen 4.31% so far this year.

The latest increase in dwelling prices across Australia marks a complete recovery from the property price falls recorded in 2022, with fresh peaks hit across the smaller capitals, and Sydney seeing a near-full recovery in its market.

Only Darwin recorded a minor decline in house prices, while all other capitals saw growth.

“The spring selling season experienced a busy start in September. Buyer and seller confidence is on the up and choice is improving significantly in the major capitals,” said PropTrack senior economist and report author, Eleanor Creagh.

Creagh also observed that despite a rise in properties hitting the market, national home prices moved higher in September, entirely clawing back the rapid price declines seen in 2022.

She attributed the price increases to record levels of net overseas migration, tight rental markets, and a housing shortage.

“While a sharp increase in the number of properties hitting the market in Sydney and Melbourne has been improving choice for buyers, strong demand has seen prices continue to lift,” Creagh said.

“Choice for buyers remains limited in Brisbane, Adelaide, and Perth, heightening competition and seeing prices hit fresh peaks in each of these markets in September.

“Looking ahead, interest rates have likely peaked and population growth is rebounding strongly.”

“Together with a shortage of new home builds, prices are expected to rise. As we head further into spring, more markets are likely to reclaim 2022’s fast falls to set new peaks.”

Eleanor Creagh, PropTrack

Regional Australia remains 0.78% below the April peak, having recorded rises both monthly and annually.

PropTrack Home Price Index – September 2023

Region Monthly growth (%) – All dwellings Annual growth (%) – All dwellings Median value ($) – All dwellings Change since peak (%) – All dwellings Peak month – All dwellings
National 0.35 3.75 754,000 0 Sep 2023
Capital cities 0.41 4.76 817,000 0 Sep 2023
Regional areas 0.18 1.28 619,000 -0.78 Apr 2022
Sydney 0.48 6.86 1,057,000 -0.03 Feb 2022
Rest of NSW 0.36 0.7 708,000 -2.15 Apr 2022
Melbourne 0.25 0.07 810,000 -4.27 Mar 2022
Rest of Vic. -0.21 -2.88 594,000 -4.78 Apr 2022
Brisbane 0.39 5.82 762,000 0 Sep 2023
Rest of Qld 0.2 4.89 614,000 0 Sep 2023
Adelaide 0.48 8.31 689,000 0 Sep 2023
Rest of SA 0.17 9.86 399,000 0 Sep 2023
Perth 0.71 9.24 597,000 0 Sep 2023
Rest of WA 0.24 3.29 460,000 -1.26 May 2023
Hobart 0.09 -3.83 677,000 -6.6 Apr 2022
Rest of Tas. -0.04 -1.41 501,000 -1.84 Jun 2022
Darwin -0.01 -1.64 495,000 -2.43 May 2022
Rest of NT -0.19 -0.28 440,000 -1.73 Dec 2022
ACT 0.3 -1 842,000 -5.18 Mar 2022

Source: PropTrack.

Sydney just a hair away from new peak

Sydney property prices have nearly recovered all of 2022’s losses, with the September price rise taking the city to within 0.03% of the previous peak, which was recorded in February last year.

Home prices in Sydney have now risen 7.33% so far this year, and 7.43% since the November trough.

Fresh peaks recorded across several markets

The September property price rise has seen the smaller capitals of Brisbane, Adelaide, and Perth hit new peaks; fresh peaks were also recorded for the combined capitals, rest of Queensland, and rest of South Australia.

In Brisbane, home prices have risen 6.46% year to date, Perth is up 7.91% so far this year, and Adelaide is up 6.90% year to date.

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