Australian home prices have risen 9% annually, driven by a 0.5% increase in February, according to a report by PropTrack. The growth has continued despite the recent interest rate hike by the central bank in response to inflation pressures.
Most capital cities and regional areas recorded new peak levels, with the exception of Melbourne and Hobart, where prices remain below their previous highs. The average dwelling value across major cities has exceeded $1 million for the first time, fueled by strong price growth in smaller capitals such as Perth, Darwin, and Brisbane.
Eleanor Creagh from PropTrack confirmed that strong demand and limited supply are supporting the increase, particularly in markets experiencing a significant supply-demand imbalance. Perth led the growth with a 19.5% annual increase over the past year, with both houses and units recording substantial price gains.
Brisbane has also posted significant gains, with the median house price rising 14.6% to surpass $1.2 million, while unit prices grew by 20.3%. This shift reflects a growing move toward more affordable property options amid recent borrowing capacity challenges.
