Australian home values continued to climb in April, with Cotality’s national Home Value Index rising 0.3% month-on-month, marking a third consecutive monthly gain and pushing the national median dwelling price to a new record high.
The increase added approximately $2,720 to the median value of an Australian home.
Growth was recorded in all capital cities, led by Darwin (+1.1%), followed by Hobart (+0.9%), and Perth and Brisbane (both +0.4%). Sydney and Melbourne each posted modest gains of 0.2%.
While broadly positive, the pace slowed from March’s 0.4% increase, as auction clearance rates and buyer sentiment softened through the month.
“The rate cut in February supported an upwards inflection in housing market conditions, but the positive influence from lower rates seems to be losing some potency,” said Tim Lawless (pictured left), Cotality’s research director.
“At the same time, household confidence slipped in April, with the US’s ‘Liberation Day’ tariff announcements and the upcoming federal election causing uncertainty. It is likely this may be causing some buyers and sellers to delay their decisions.”
The gains also came as Australia’s core inflation fell to a three-year low, fuelling expectations of another rate cut. Still, analysts warn that US tariffs could have a more lasting impact on the property market.
Lawless said uncertainty was more visible in transaction volumes than prices. The “super break” caused by Easter and ANZAC Day public holidays also contributed to a temporary slowdown.
Only 644 auctions were held across the combined capitals in the week ending April 20—the quietest Easter auction week since 2019, when the market was near its previous cyclical trough.
Similarly, new listings dropped to 19,650 over the four weeks to April 27, also the lowest for this time of year since 2019.
“With further rate cuts likely as soon as May 20th, and a level of certainty returning to the market after the federal election on May 3rd, we expect a further modest rise in values for 2025,” Lawless said.
Despite the national high, not all capital cities are at peak value.
Sydney remains 1.1% below its September 2024 high, while Melbourne values are down 5.4% from their 2022 peak. Hobart and Canberra remain more than 6% below their all-time highs, and Darwin is still 2.7% lower.
Meanwhile, mid-sized capitals like Adelaide, Brisbane, and Perth have seen prices climb to fresh records, underscoring the divergence in market recoveries.
Westpac economist Ryan Wells (pictured right), analysing the same home value index data, noted that seasonal effects may be inflating headline gains. Seasonally adjusted data showed only a 0.3% increase over the February-April period, compared to 1% on a raw basis.
“The latest results are broadly consistent with a flattening out or slight decline in turnover over the past three months,” Wells said.
Nationally, annual value growth slowed to 3.2% in April, the weakest annual reading since August 2023. Lawless said this reflects the drag from market conditions in late 2024 and early 2025, when values fell for three straight months.
“Given the softer trajectory of growth through last year, it’s likely the annual pace of gains will continue to soften over the coming months, despite the positive inflection in values since February,” he said.
Regional housing markets continued to outperform capital cities in April.
Regional dwelling values rose 0.6%, compared to 0.2% for the capitals. The strongest gains were recorded in regional South Australia (+1.5%) and regional Western Australia (+1.3%), with all states except Tasmania showing faster regional growth.
This echoes the pattern seen during the pandemic, when affordability and lifestyle trends drove a shift toward regional areas.
House values rose 1.1% over the past three months, more than double the 0.5% lift for units across the combined capitals. Sydney and Hobart showed the widest gaps, with houses up 1.4% while units in Sydney fell 0.3%, and Hobart units dropped 1.1%.
Melbourne and Adelaide showed parity between property types, while Brisbane and Perth bucked the trend with stronger gains in the unit market.
For more information, read the Cotality announcement or the full May HVI. For Westpac’s insights on Cotality’s latest figures, click here.
