Written by Lily Chong, Head of IQI Australia

Australia’s housing market continued its strong recovery in October, with national home values climbing 1.1% — the sharpest monthly gain since June 2023. This marks a turning point since the first rate cut in February, which reignited growth momentum after a brief slowdown late last year. 

According to Cotality’s research director, Tim Lawless, housing values have surged 6.1% nationally over the past year, with every capital city and regional market posting gains in October — led by Perth (+1.9%) and Hobart (+0.3%). Across the combined capitals, the median dwelling value rose by over $10,000 in October alone, bringing total growth since February to nearly $54,000. 

The rise is largely driven by strong demand amid tight supply, with home sales tracking 3.1% above the five-year average while listings remain 18% below average. This imbalance has continued to favour sellers, reflected in solid auction clearance rates hovering between the high 60s and low 70s.

Additional momentum has come from the expanded 5% Deposit Guarantee Scheme, effective from October 1, boosting activity among first-home buyers and investors. Growth has been most pronounced across the lower and middle price brackets, where affordability and incentives are strongest, while the premium segment shows more moderate increases. 

Looking ahead, market analysts expect housing values to remain on an upward trend into early 2026, supported by limited housing supply, resilient buyer demand, and stable lending conditions. However, affordability pressures and future interest rate movements will continue to influence the pace of growth across different price segments and cities. 

For investors and homeowners alike, Perth’s property market presents exciting opportunities. Whether you’re considering selling, buying, or investing, now is the time to explore your options. Contact our team at sales@iqiwa.com.au to discuss your property goals today.