Housing Value at Record High

Housing Value at Record Highs

Australia’s housing market has reached a new milestone, with the total value of residential property climbing by over $200 billion in just three months to $11.6 trillion.

According to ABS data, the value of housing has surged by 60% over the past five years, now sitting at more than four times the market capitalisation of the ASX. While national dwelling values rose 1.4% over the June quarter, the pace of growth has moderated.

NSW, Queensland, South Australia, and Western Australia all recorded fresh price highs, with household ownership accounting for $11.1 trillion of the total.

Australians on the Move

New data from the 2025 Muval Index shows 28% of Australians are planning a move in the next 12 months. Drivers include upgrading to larger homes, reducing living costs, and pursuing lifestyle changes such as coastal or quieter locations.

The ACT has emerged as the most popular destination, with inflows significantly outweighing outflows, followed by Victoria and Western Australia. Notably, affordability remains a key motivator—16% of respondents are moving to access cheaper housing.

Spring Auction Activity

Auction activity has lifted with the arrival of spring, with nearly 2,500 properties taken to auction last weekend and more than 2,600 scheduled for the coming week.

Despite a higher volume of listings, clearance rates remain strong at 74.8% nationally, comfortably above winter averages. Sydney, Melbourne, Adelaide, Brisbane, and the ACT all recorded clearance rates above 73%, underscoring resilient buyer demand.

The Value of Parking

Dedicated parking spaces are adding significant premiums to property prices in tightly held, high-traffic locations. Research by Luxo Living indicates that in some suburbs, parking can add between $149,000 and $156,000 to a property’s value.

In Sydney’s Inner West, for example, a secure car space in Newtown is estimated to add up to $156,000 to a home’s price. As density increases, parking is shifting from a standard feature to a luxury asset.

Top Investment Suburbs

Queensland and Western Australia continue to stand out as investment hotspots. REA Group’s latest report highlights 200 suburbs with strong investment fundamentals—Queensland accounting for 98, and WA 72.

The rankings are based on rental yields, annual capital growth, and leasing demand, with outer-suburban and regional locations particularly prominent. These markets are offering attractive opportunities for investors looking for both income and long-term growth.

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