The housing market in Australia is on a upward trajectory as national house prices increased by 0.5% in September 2025, the ninth straight month they’ve risen and lifting values 6.2% higher than a year ago according to PropTrack.

Among the capitals, Hobart (+0.8%) and Sydney (+0.7%) led monthly growth. All capitals apart from Hobart (–5.4% below peak) and Canberra (–1.3% below peak) are now sitting at record highs.

Eleanor Creagh, senior economist at REA Group, said: “With interest rates moving lower this year, momentum in the housing market has strengthened, and national annual growth has picked up by 0.8 percentage points since the start of the year, marking a turnaround from the slower conditions observed in late 2024.

“The current upswing is a synchronised expansion, underpinned by lower rates and constrained supply, with a broad-based lift in prices across the country.”

Enquiries per listing are at a three-year high and search activity on realestate.com.au the strongest since late 2021. Nationally, house and unit prices are now rising at a similar pace, house prices lifted 0.5% and unit prices nationally rose 0.6%.

National house prices have increased by 6.3% over the past 12 months, while growth in unit values (6.1% year-on-year) has been comparable.