The Australian housing market upswing continued in the first month of 2024 with property values rising 0.4%. As house prices rose, renters continued to feel pain, with the national rental index recording its biggest monthly rise since April 2023. Rents were up 0.8% in January after a 0.7% rise in December.

The 0.4% increase in home values, according to data group CoreLogic, marked the 12th straight month of value rises, and was up from the 0.3% increases in November and December.

Despite the headline result, housing market performance remained varied around the country. Three capitals recorded a subtle decline over the month (Melbourne -0.1%, Hobart -0.7% and Canberra -0.2%), while Perth, Adelaide and Brisbane values continued to rise at the monthly rate of 1% or more.

CoreLogic’s research director, Tim Lawless, said Perth led the capital city increases, rising by 1.6% in January. “The western capital continues to see housing demand outweigh supply, helping to push values 16.7% higher over the past 12 months. Despite that, housing prices remain relatively affordable compared with most capital cities, with the median dwelling value sitting just under A$677,000 (£350,000).”