Median dwelling values in Perth, Brisbane, and Adelaide increased by between 15% and 24% in the financial year 2023-24, surpassing gains realised across the rest of the nation, according to new figures from CoreLogic.

Those buying a typically-priced property in the three cities now will need to spend at least $100,000 more than they would have this time last year.

  • Adelaide: Property prices rose from just over $665,000 in late June 2023 to nearly $768,000 by June 30, 2024 – a near-$103,000 increase

  • Brisbane: The median dwelling value climbed from approximately $742,000 in June 2023 to just over $859,000 in June 2024, a difference of around $117,000

  • Perth: Property prices rose from approximately $613,000 in June year to slightly above $757,000 at the end of last month – an increase of around $145,000

For comparison, the median property price across Australia climbed 8%, or nearly $59,000, over the 12 months ended June to around $794,000.

The price surge in these cities coincides with a drop in the number of dwellings for sale.

In Perth, the number of homes listed is nearly half of the city's previous five-year average, while Adelaide and Brisbane have 43% and 34% fewer listings, respectively, than their five-year averages.

The three cities are also seeing an uptick in investor interest, while interstate migration into Western Australia and Queensland remains strong.

Housing market finds its 'groove'

Across the country, dwelling values have risen between 0.5% and 0.8% each month since February, indicating the market has 'found a groove,' according to CoreLogic research director Tim Lawless.

"The persistent growth comes despite an array of downside risks including high rates, cost of living pressures, affordability challenges, and tight credit policy," Mr. Lawless said.

"The housing market resilience is due to tight supply levels, which are keeping upward pressure on values."

  • Sydney: Dwelling prices increased by 6.3% over the financial year 2023-24, with the median property in the city now costing $1.17 million

  • Melbourne: The median property value fell 0.2% in June but is 1.3% higher than a year ago, now at $783,000

  • Hobart: House prices slipped 0.1% over the last 12 months, with the median property now valued at nearly $646,000

  • Canberra and Darwin: Prices rose by 2.2% and 2.4%, respectively, in the financial year 2023-24, to around $870,000 and $505,000 respectively

As property markets remain tight, more homes are coming onto the market across the nation as vendor activity ramps up.

The number of new listings was 12% higher last month than it was a year ago, and 4% higher than the previous five-year average.

However, with buyer appetite still high, total advertised supply levels remain below average.

"The rise in new listings could signal that more homeowners are motivated or need to sell," Mr. Lawless said.

"It is clear that savings accrued during the pandemic are being drawn down by some households due to the combination of high living costs and elevated debt levels, coupled with interest rates that look set to remain higher for longer."

Image by Nathan Hurst on Unsplash

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