The Proptrack Home Price Index reveals that national home prices edged up by 0.22% in August, reaching a new peak. Despite this rise, the pace of growth has moderated during the winter months. Year-over-year, prices have increased by 6.16%, with combined capital cities experiencing a 6.49% uplift over the past 12 months.

In August, Perth (+0.79%), Hobart (+0.63%), and Adelaide (+0.45%) led the capital cities in price growth, while Sydney’s growth slowed to 0.32%. Melbourne, however, faced its fifth consecutive month of price declines, falling by 0.18% in August and 1.98% over the past five months.

Perth, Adelaide, and Brisbane have been the fastest-growing markets over the past two years, with Perth prices rising by 23.24% in the past year alone. Regional areas have generally seen slower growth compared to capital cities, although regional WA and Queensland led in August.

As the spring selling season begins, factors such as robust population growth, tight rental markets, and home equity gains are anticipated to drive further price increases. However, affordability constraints may moderate the rate of growth.