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Why house prices in Sydney and Melbourne are tumbling right now

According to experts Australia’s housing market is running out of steam, with its weakest growth result in 22 months.

Prices nationally rose by 0.1% in November. The growth was supported by trends in mid-sized capital cities and most regional markets. 

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But both Sydney and Melbourne have seen house prices fall in the last month, so have Canberra and Darwin. Meanwhile, we’re seeing a slowdown in Brisbane and Perth. 

There are also signs that the boom is over, with an increase of 0.2% in November. 

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Overall, they’re up 5.3% this year, but that’s down on last year’s national jump of 8.1%.

CoreLogic research director Tim Lawless said the slowdown was being driven by more homes going to market while less people bought homes, partly due to cost of housing pressures.

There are questions about whether we’ll see those prices rebound in the first quarter of 2025, but most experts agree the insane pressure on our rental market has eased for the long term. 

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