News & Tips

Forecasts for the next rate cut have now been pushed out well into 2026.  Even so, a continued undersupply in housing, increasing household spending and now, accelerating established house price growth will put continued pressure on new land prices in the final quarter of 2025 and through 2026.

Cotality’s Home Value Index for October today reported the strongest month of established dwelling price growth in nearly 2½ years, with strong growth reported around the country.  October’s 0.9% increase in national dwelling prices was the ninth consecutive monthly increase, all since the first rate cut was delivered in February.

Auction clearance rates, the most immediate indicator of current house price growth, remain above long term averages and with just one month of the expanded First Home Buyer Guarantee Scheme under the belt, demand is likely to remain hot for both established and new housing markets.

A nice jump in September monthly ABS Building Approvals reported today isn’t enough to change the recent flat trend, but gives some hope for an increase in new housing delivery in 2026. Approvals rose 12% on the back of a 26% jump in Unit approvals in NSW and VIC, but also saw the larger detached house sector rise a solid 4.4%.

This latest housing data aligns with the latest Oliver Hume Quarterly Market Insights Report on land markets, set to be released next week, showing increasing sales and prices in most new land markets around the country.

Brisbane and Perth still lead the way in terms of monthly and annual house price growth, but if you’re looking for somewhere other than tomorrow’s Melbourne Cup to place a bet (with a much bigger commitment!), after three years of underperformance, Melbourne’s market probably has the most upside in the medium term.