Australian Housing Market Slows

Australian Housing Market Slows Australian housing market activity experienced its slowest pace in nearly 18 months in April, driven by declining prices in major metropolitan areas and a shift in buyer preferences towards lower-priced properties. Data released today by Cotality indicates that house prices in Melbourne and Sydney each decreased by 0.6% during April. This marks a cumulative decline of 1.9% for Melbourne home values since November and a 1% reduction for Sydney over the same period.

The slowdown is more pronounced in the upper segments of the market. The top quarter of properties in Melbourne and Sydney saw prices fall by 1.2% in April, while the lower quarter of the market experienced a modest 0.1% increase. This trend of a two-speed market is evident across all capital cities, where price growth in the bottom quarter of homes consistently outpaces that of the top quarter.

While Canberra prices remained flat in April and Hobart recorded a marginal 0.2% increase, their respective top-tier property segments also registered price declines. Conversely, Perth, Brisbane, Adelaide, and Darwin continued to show steady price increases, though the overall national trend reflects a deceleration in market momentum.