Get ready for a wild ride in the Aussie housing market! New data, shared exclusively with News Corp by KPMG and Proptrack, predicts a substantial increase in home prices across different parts of Australia over the next two years.
For homeowners, this is good news as property values are set to soar. But for those hoping to buy their first home or upgrade, it’s a challenging outlook. On average, home prices could surge by as much as $200,000 in some regions.
In Sydney, by mid-2025, the average house price is expected to reach a staggering $1.53 million, while units will cost around $850,000. That’s approximately $200,000 more for houses and $100,000 more for units compared to current prices.
Melbourne is on track to become a million-dollar city again, with KPMG’s property price prediction indicating a median house price of $1,024,495 by June 2025. Around 68 Melbourne suburbs could witness house prices cross the million-dollar mark.
In Brisbane, home values are projected to grow by 2.8% by June next year and another 4.2% by mid-2025, potentially pricing out first home buyers in 35 suburbs as prices surpass the $550,000 stamp duty concession ceiling.
Adelaide’s housing market is also heating up, with an estimated increase of 5.8% by June next year and 6.8% by June 2025. This could result in 21 more suburbs joining the million-dollar club, bringing the total to 75.
These predictions are driven by various factors, including a lack of housing supply and market dynamics unique to each area. So, while it’s great news for homeowners watching their property values soar, prospective buyers might face even steeper challenges in the years to come.
Analysis source: KPMG
