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Property values climbed to new heights in March to reverse a recent downward trend, according to CoreLogic.
Australian property values have hit new heights in March to record their second consecutive month of growth, according to CoreLogic’s national Home Value Index.
Research from CoreLogic, soon to rebrand as Cotality, found values increased 0.4 per cent over the month, the second consecutive month of growth, following a short period of decline where values dipped 0.5 per cent over three months.
March saw a broad-based rise in property values, with every capital city except Hobart and all rest-of-state regions recording growth.
In both Sydney and Melbourne, values have risen over the past two months.
Sydney home values were just 1.4 per cent below their record high following a 2.2 per cent decline between September 2024 and January 2025.
In Melbourne, where values have been slipping since they peaked in March 2022, values remained 5.6 per cent below their record high, despite rising 0.9 per cent over the past two months.
Values continued to grow across the mid-sized capitals, although the size of increases are easing, especially in Perth, according to CoreLogic data.
The trend of regional markets outperforming capitals continued, with CoreLogic’s combined regionals index rising 0.5 per cent compared with a 0.4 per cent gain across the combined capitals.
Commenting on the research, CoreLogic research director Tim Lawless said: “Improved sentiment following the February rate cut is likely the biggest driver of the turnaround in values, along with the cut’s direct influence of a slight improvement in borrowing capacity and mortgage serviceability.
“With the rate-cutting cycle expected to be drawn out, it will be interesting to see if this positive inflection in values can last in the face of affordability constraints.”
The latest data on home prices comes as brokers benefit from a surge in activity as more borrowers seek support to access mortgages after the RBA triggered the first rate-cutting cycle in more than four years.
CoreLogic said in its research that “relatively expensive markets have historically shown stronger responses to reduced cash rate settings”, especially houses in Sydney and Melbourne.
[Related: Brokers see surge in pre-approvals as home-buying confidence rises]
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