- Queensland Market Growth & Supply Constraints (Source: Property Buzz)
Queensland’s property market grew significantly in December 2025, with median house prices rising 6.11% quarterly and 13.7% annually, while units increased 7% quarterly and 16.13% annually, driven by chronic construction constraints and limited housing supply. Redlands LGA led house price growth at 7.37% quarterly, while Moreton Bay LGA dominated the unit market with 12.14% growth; Brisbane’s median house price reached $1,405,000 and units reached $825,000. Queensland’s housing supply crisis persists, with only 34,000 new dwellings completed annually against a National Housing Accord target of 49,000, and January 2025 building approvals reached only 3,600 compared to the required 4,100 monthly. Brisbane experienced a 25% year-on-year fall in property listings while regional Queensland saw a 15% decrease, with supply constraints underpinned by property owners holding homes and the pipeline skewed toward luxury apartments due to high construction costs. The Federal Government’s 5% Deposit Scheme boosted first home buyer activity, intensifying competition at lower price quartiles, while rising interest rates and global conflicts threaten to further exacerbate the construction crisis.
- National Market Performance & City Comparison (Source: Property Update)
National home prices rose 0.7% in March to reach new highs, with Perth surging 7.3% over the quarter, while Melbourne and Sydney experienced slight declines from recent peaks. Australia’s property market consists of multiple sub-markets moving at different speeds, driven by population growth, tight rental markets, government incentives, but constrained by economic uncertainty, high interest rates, and affordability challenges. Melbourne’s property values have risen 8.5% over five years but remain below peak levels, while Sydney has grown 25.4% over five years but is slightly below its recent peak. Brisbane remains the strongest-performing market, while Adelaide and Perth are also strong performers. Hobart and Canberra show weaker performance, while Darwin remains the most affordable capital with steady growth. - Demographic Drivers of Demand (Source: Property Update)
Millennials are entering peak family formation and income years, driving demand for four-bedroom homes in middle-ring suburbs. Housing supply of family-sized homes is structurally undersupplied due to development feasibility. Baby boomers prefer to age in place, keeping established homes tightly held. Young migrants and international students drive apartment demand in inner cities. Migration remains the key driver of population growth, while supply constraints across all housing segments are influenced by construction feasibility. Property cycles are closely tied to demographic shifts and household formation patterns.
- Home Value Trends & Market Segmentation (Source: Cotality)
Australia’s national home value index rose 0.7% in March with slowing momentum compared to previous quarters. Perth’s market is accelerating rapidly due to low supply, while lower-priced housing is outperforming upper-tier markets due to affordability constraints. Regional markets show resilience, though declining sales volumes suggest demand may soften due to cost-of-living pressures and potential rate increases. Brisbane Market Update (Source: API Magazine)
Brisbane’s dwelling values continued to grow strongly, with 1.8% monthly and 19.0% annual growth. Rising interest rates and global uncertainty are tempering buyer activity, with forecasts revised downward. Auction clearance rates have eased, reflecting a gap between buyer and seller expectations. Housing supply remains critically constrained, while rental markets are extremely tight. Despite headwinds, Brisbane’s fundamentals remain strong, with demand exceeding supply.Rental Market Pressure (Source: API Magazine)
Australia’s rental market is extremely tight, with vacancy rates below 2% across all capitals, driving rent increases. Inner-city apartments are experiencing strong rental growth as demand outpaces supply. Rents are forecast to grow significantly through 2030, supported by construction constraints and labour shortages. Higher rental yields are attracting investors, while the rent vs buy gap is narrowing. Affordability challenges are expected to persist due to ongoing supply-demand imbalance.- Cotality Home Value Index Insights (Source: Cotality)
Cotality’s national home value index rose 0.7% in March, with growth easing but remaining positive. Sydney and Melbourne are entering early downturn stages, while mid-sized capitals continue to perform strongly. Regional markets remain resilient, with stronger growth than capital cities. Perth and Western Australia lead capital gains, while Hobart shows strong annual growth. Early signs of reduced purchasing demand are emerging with declining sales volumes.
- Overall Market Outlook (Combined Sources)
Australia’s property market remains supported by strong demand, population growth, and constrained supply, despite rising interest rates and economic uncertainty. Growth is increasingly uneven across regions and price segments, with mid-sized capitals and affordable markets outperforming. Supply shortages, demographic shifts, and rental pressures continue to underpin property values, while affordability constraints and higher borrowing costs are expected to moderate growth moving forward.
- CoreLogic Auction Results (Week ending 3 Apr 2026)
(Total Auction / Clearance Rate)– Sydney: 386/ 51.3%
– Melbourne: 151/ 55%
– Brisbane: 66/ 54.6%
– Perth: 4/ 66.7%
– Canberra: 31/64.5%
– Adelaide: 50 / 66%
– Tasmania: NA / NA
– Combined Capitals: 688 / 54.2%
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