Cotality’s Chart Pack for December shows that dwelling values nationally increased by 2.9% in the final quarter of 2025, with regional values (3.5%) outpacing capital city values (2.7%).
Source: Cotality
One of the key factors driving the rise in Australian dwelling values is the complete dearth of homes available for sale.
Cotality’s data shows that total listings in December 2025 were 15.8% lower than in December 2024 and 20.6% below the five-year average:
Source: Cotality
Cotality’s daily dwelling values index indicates that dwelling values across the five major capitals remain two-speed.
Over the past 28 days, dwelling values across Sydney (0.1%) and Melbourne (0.0%) were basically flat, whereas Brisbane (1.2%), Perth (1.6%), and Adelaide (1.4%) continue to grow strongly:
The availability of for-sale listings in each market largely explains the differing growth rates.
The following chart from Cotality shows that new listings across the combined capital cities were 0.1% higher in December 2025 than a year earlier, driven by strong rises across Sydney (11.6%) and Melbourne (15.5%):
Source: Cotality
While total for-sale listings fell across all major capitals in 2025, the declines were relatively less pronounced across Sydney (-8.9%) and Melbourne (-12.6%).
The deviation of for-sale listings from the five-year average is shown below by CBA, based on Cotality data:
Listings in Sydney and Melbourne are significantly above the five-year average, while those in Perth, Brisbane, and Adelaide are significantly below it.
The relatively higher supply in Sydney and Melbourne and the tighter supply in Perth, Brisbane, and Adelaide are reflected in their differing rates of price growth.
A surplus of homes for sale relative to buyer demand is the main reason why Sydney and Melbourne home values are stagnating while the other major capitals continue to rise.
