Australian property values reached a four year high in 2025 but December saw a sluggish end to the year.
New numbers from Cotality found that 2025 was the strongest calendar year gain in Australian home values since 2021 when prices were lifted 24.5% by record purchasing activity and emergency low interest rates amidst the COVID pandemic.
Year-over-year price growth for 2025 at the peak was 8.6%, but on a monthly basis December showed signs of slowing.
Regional markets fared better than the combined capital cities with gains of 9.7% compared with 8.2% as Sydney and Melbourne posted declines in December.
The outlook for 2026 is more cautious with inflation, higher interest rates and affordability concerns expected.



