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Australian home prices jump 1.1% in October in strongest monthly rise since June 2023

Perth and Brisbane lead the charge as tight supply and earlier rate cuts continue to fuel price growth above expectations.

4 November 2025

A general view of residential housing over the inner Brisbane suburb of Milton. Picture: AAP Image/Dave Hunt

Key points 

  • National home prices rose 1.1% in October, lifting annual growth to 6.1%.
  • Perth (+1.9%), Brisbane (+1.8%) and Darwin (+1.6%) posted the biggest monthly gains.
  • Regional areas outpaced capital cities with a 7.5% annual rise.

Prices rise across the board

Australia’s housing market continued its upswing in October, with national home prices rising 1.1 per cent — the strongest monthly increase since June 2023. The annual growth rate now sits at 6.1 per cent, fuelled by earlier interest rate cuts, tight supply and strong market momentum.

Price gains were broad-based across capital cities, with Perth, Brisbane and Darwin leading the pack. Melbourne also outpaced Sydney for the first time in six months, rising 0.9 per cent compared to Sydney’s 0.6 per cent.

Chart: Dwelling price by capital city

Momentum stronger than expected

“The housing market has outperformed expectations this year,” said Belinda Allen, CBA’s Head of Australian Economics.

“We thought prices would rise 6 per cent by year-end — and we’ve already hit that mark. Momentum has been stronger than anticipated, and while the prospects of no more interest rate cuts due to sticky inflation may slow things down, we still expect further gains.”

Chart: median time on market October 2025

Supply remains tight

Listings in Perth, Brisbane and Adelaide are well below their five-year averages, and homes in Perth are selling in just 12 days on average. Brisbane follows at 21 days, while Sydney, Melbourne and Adelaide hover around 31–33 days, which is still faster than the time it usually took to sell pre-COVID.

Auction clearance rates have dropped slightly since peaking in mid-September, suggesting some cooling in demand. But overall, the market remains competitive, particularly in Brisbane, which is now the second least affordable capital city after Sydney.

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The information presented is an extract of a Global Economic and Markets Research (GEMR) Economic Insights report. GEMR is a business unit of the Commonwealth Bank of Australia ABN 48 123 123 124 AFSL 234945.



This extract provides only a summary of the named report. Please use the link provided to access the full report, and view all relevant disclosures, analyst certifications and the independence statement.



The named report is not investment research and nor does it purport to make any recommendations. Rather, the named report is for informational purposes only and is not to be relied upon for any investment purposes.



This extract has been prepared without taking into account your objectives, financial situation (including your capacity to bear loss), knowledge, experience or needs. It is not to be construed as an act of solicitation, or an offer to buy or sell any financial products, or as a recommendation and/or investment advice. You should not act on the information contained in this extract or named report. To the extent that you choose to make any investment decision after reading this extract and/or named report you should not rely on it but consider its appropriateness and suitability to your own objectives, financial situation and needs, and, if appropriate, seek professional or independent financial advice, including tax and legal advice.