Property Price Rising

Australian Property Prices Are Rising

The Power of Passive Income
July 01, 2025•2 min read

Australian Property Prices Are Rising – Here’s What You Need to Know

After several years of uncertainty, the Australian property market is gaining real momentum. Whether you're a homebuyer or an investor, it’s critical to understand what’s driving this surge and how it could impact your next move.

As we approach FY26, here are the three key forces pushing property prices higher across the country:

1. Falling Interest Rates Are Re-Activating Buyers Interest rates play a major role in shaping the property market — and right now, they’re moving in buyers’ favour. Since February 2025, the RBA has cut the cash rate by 50 basis points, with markets expecting another 75–80 basis points of cuts by the end of FY26.

What does this mean for you?

  • Lower monthly mortgage repayments

  • Increased borrowing power

  • More competition from active buyers

2. First-Home Buyer Incentives Are Lifting Entry-Level Demand

Federal and state governments are offering new support for first-home buyers, including:

  • No Lenders Mortgage Insurance (LMI) for eligible buyers

  • Expanded shared equity schemes

  • Stamp duty concessions in some states

These initiatives help more buyers enter the market and increase their purchasing power — especially in outer suburbs and growth corridors. The result? Stronger demand at the entry level, which is pushing prices up across the board.

3. Housing Supply Still Can’t Keep Up

Despite new policies and plans, Australia isn’t building enough homes fast enough. Key challenges include:

  • Slow construction timelines

  • Delays in zoning and approvals

  • Continued population growth

With cities like Melbourne, Brisbane, Perth, and Adelaide attracting growing migrant and interstate populations, supply remains well below demand, putting upward pressure on prices nationwide.If you're looking to buy or invest, timing and strategy are everything. A smart, well-informed approach can help you:

  • Get in ahead of future price increases

  • Target high-demand, low-supply areas

  • Make decisions based on data, not guesswork

Need guidance in this market? If you need guidance do not hesitate to get in touch with us. We help homebuyers and investors uncover smart opportunities with suburb-level research, expert insights, and tailored strategies.

Get in touch: https: https://www.excelbuyersagents.com.au/services

Source: Domain Price Forecast Report FY25–26

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