August 2022 Property Market Update

The downward trend in property prices is continuing, with the national median dwelling value dropping 0.6% in June. Importantly, this decrease has also pushed quarterly growth figures into negative territory, with national dwelling values down 0.2% since March. As in previous months, this is mostly being driven by declines in Sydney and Melbourne. Both markets slowed further over June, with median prices down 1.6% and 1.1% (respectively) for the month.

In somewhat surprising news, the rate of decline in Australian property values has slowed for the first time in months. After dropping 1.6% in August, the national median dwelling value fell a slightly more modest 1.4% over September. This was driven by slowing declines in most markets, with only Adelaide and Perth seeing accelerating value losses. It is the opposite story for the rental market, with the national median rent rising by 0.6% over the month. This is the lowest monthly increase since December 2021 and well down from the cyclical peak of 1.0% seen in May. While the slowing growth in rents is consistent across most markets, it has been particularly pronounced in regional areas.