Australia’s property market has shifted into its fastest growth phase in four years, with 32 suburbs joining the million-dollar club for the first time as prices in some areas jumped by up to $141,000 in just three months.
Nicola Powell (pictured), Domain chief of research and economics, said the results reflect strong national momentum.
“It doesn’t surprise me that it’s being dominated by Brisbane suburbs,” Powell said.
“Brisbane’s momentum has been there for some time, and I think [it’s] pushing more and more suburbs to breach that million-dollar milestone.”
Powell added Sydney could hit a $2 million median by 2027, needing only a 14.2% ($250,000) increase to get there. The city remains remains among the least affordable globally and with first-home buyers facing some of the longest waits to purchase.
Woody Point in Greater Brisbane recorded the sharpest rise, with median house prices up $141,250 in just 90 days.
Rachele Jones, of Jan Jones Real Estate, said demand had been building steadily.
“We have seen a lot of quality homes being renovated there, and also knockdowns and rebuilds,” Jones said. “There’s also a lot of development, with high-end units being built as well.”
She said the suburb’s lifestyle and coastal access continue to attract families.
“[It’s] a very family-friendly area,” Jones said. “You can walk to the local cafes, fish on the jetty, [go to] the Belvedere Hotel.”
Nearby Highland Park saw the second-biggest increase, rising $129,000.
Jane Doogan, of LJ Hooker Nerang, said the suburb’s location and affordability are fuelling demand.
“I think Highland Park has been undersold for a long time,” Doogan said. “It’s elevated, [is] the hub of the Gold Coast; there’s so much infrastructure … [and] it’s close to the M1.”
The Southern Gold Coast suburb of Currumbin hit the million-dollar mark for unit sales, reflecting the affordability shift.
“When you’ve got a unit market that is edging above a million bucks, particularly when it’s outside Sydney, I think that’s when it becomes quite a surprise,” Powell said.
Josh McKenzie, Ray White Tugun agent, said unit demand is growing as houses become unaffordable.
“To get into that suburb for a house, it’s up past $2 million now… so I guess, due to the affordability, everybody’s falling back on [units] and driving those prices up,” McKenzie said.
He recently sold 7/36 Duringan Street for $1.6 million at auction, with six bidders competing above reserve.
All eight capitals posted quarterly gains, led by Darwin (+5.3%), Hobart (+4.7%), and Adelaide (+3.3%), while regional markets rose 3.7% quarterly and 11.5% annually.
Westpac senior economist Matthew Hassan said tight supply continues to fuel price competition.
“It’s a very tight market at the moment… we’ve got just over 60,000 properties on the market across the five major capital cities – that’s about two months of turnover; normally we’d have three to four months of stock available,” he said.
Powell said affordability is now driving structural change.
“You have got a sector of buyers now priced out of purchasing a house and steered towards units because of affordability; this leads to a structural change and boost in unit prices,” she said.
For mortgage brokers, the surge in high-value suburbs signals stronger lending, refinancing, and investor activity. Rising equity and low stock are expected to fuel borrowing demand as homeowners and investors act before further price growth in 2025.
“There’s many suburbs that are almost breaching that million-dollar mark,” Powell said. “And with momentum broadening across different cities, it is likely to push more suburbs into that milestone of a million bucks.”
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