Author – Denton Pugh, NAB Executive for Home Lending.
Australia’s housing market is continuing to move as we head into the busy spring selling season. National house prices have now risen six months in a row. That puts values around 3% higher since the start of the year.
Every capital is sharing in the upswing, with smaller cities like Darwin, Brisbane, and Adelaide emerging as standout performers boasting the strongest price growth of all. Regional areas are also pulling in plenty of buyers, offering better bang for your buck than our big cities.
This continued price growth comes despite still relatively high borrowing costs, supported by a noticeable lift in market sentiment. NAB’s Residential Property Index* released this week jumped to +44, its highest level in 12 months, driven by recent rate cuts and growing expectations of further easing. Confidence has turned positive across the country, including in the ACT, which had remained subdued since late 2022.
With lower rates and market sentiment improving, more properties are expected to hit the market over the spring season. There will likely be more homes coming onto the market, but also plenty of eager buyers returning. First-home buyers are already stepping up, with the index showing their share of new housing rising to 40%, the highest since December 2022.
This could be a prime opportunity to make a move. Here are a few things to think about so you’ll be ready to act fast when you find that dream property.