Australian House Prices Hit Record Highs Following Rate Cut

The Reserve Bank's February rate cut spurred a 0.4% rise in national dwelling values in March, but affordability challenges persist for first-time buyers.

• National dwelling values increased by 0.4% in March 2025, reaching record highs, with every capital city except Hobart seeing gains.
• Sydney and Melbourne recorded modest growth, with house values rising 0.5% and 0.6% over the past three months, respectively.
• Regional markets outperformed urban centers, with areas like Western Australia's Midwest and Queensland's Townsville experiencing over 20% annual growth.
• Affordability remains a critical concern, with stagnant wages over the past decade reducing first-time buyers' purchasing power by $54,000.
• The Reserve Bank is expected to maintain the cash rate at 4.1% in its upcoming meeting, with market speculation suggesting potential further cuts later in 2025.

5 Articles

Australian Broadcasting Corporation The Sydney Morning Herald The Guardian 9News