The Reserve Bank of Australia’s (RBA) decision this week to keep rates on hold in March, after cutting them in February, will not halt Sydney’s booming property market, according to a report in the Australian Financial Review.

The median price for a Sydney home rose 1.4% in February, while in the rest of the capitals combined - including Sydney - it was up just 0.3%, according to RP Data.

And despite many predictions of further cuts, the RBA board chose to hold base rates steady last week, keeping the cash rate at 2.25%.

Australian homes have become 22.6 per cent more expensive since June 2012, but over the same period Sydney prices jumped more than 34.8 per cent, according to RP Data.

Meanwhile the RBA has signalled that it may drop rates again over the coming months.