Overview

• Westpac projects national dwelling prices to rise 6% in 2025 and 8% in 2026 following three cash‑rate cuts this year by the Reserve Bank.
• Canstar, drawing on Cotality data, estimates Sydney’s median house price could increase by about $154,000 to roughly $1.67–$1.68 million by late 2026 if the forecast holds.
• Melbourne and Perth are also modeled to add six figures, with Melbourne crossing a $1 million median, while Brisbane is pegged to rise about $93,000, Adelaide $70,000 and Hobart more than $30,000.
• Affordability has deteriorated, with a typical first‑home buyer able to service repayments on only 17% of dwellings, and an average household needing about 5.9 years to save a 20% deposit, stretching to 7.2 years in South Australia and 6.9 years in New South Wales.
• ANZ warns firm GDP and spending could see the RBA pause further cuts, creating uncertainty for price projections, and experts caution buyers against borrowing to the limit in case conditions turn.